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Electric Railway Journal 



Volume 55 

January to June^ 1920 



|a-C.-«3 



McGraw-Hill Company, Inc. 

Tenth Avenue at Thirty-sixth Street 
New York City 




Instructions for Use of Index 



This index is essentially a subject index, 
not an index of titles, and articles treating 
a number of different subjects are indexed 
under each of them. In addition, a geo- 
graphical reference is published wherever 
the article relates to any particular railway 
company, or to the state matters of any 
particular state. The geographical method 
of grouping serves to locate in the index 
any article descriptive of practices, condi- 
tions, events, etc., when the searcher knows 
the electric railway, city or state to which 
the article applies. Groupings are made 
under the nam.e of the city in which the main 
office of the company is located, but an ex- 
ception is niade ii. the case of electrified sec- 
tions of steam railroads, such entries being 
made direct under the name of the railroad. 
City or state affairs appear direct under the 
names of the city or state involved. . 

In the subject index, the alphabetical 
method is followed, and if there is a choice 
of two or three kejrwords the one most gen- 
erally used has been selected, cross refer- 
ences being supplied. Below will be found 



a list of the common keywords used in the 
index to this volume. This list has been sub- 
divided for convenience into thirteen general 
subjects, but the general subject headings, 
shown in capital letters, do not appear in 
the body of the index. As an example, if a 
reader wished to locate an article on special 
work he would obviously look in the list under 
the general subject Track and under this 
caption, only special work could apply to 
the article in question. The reader would 
therefore refer to this keyword under S in 
the body of the index. 

In addition to the groups of articles cov- 
ered by these headings the papers and re- 
ports from railway associations are grouped 
under the names of the various organiza- 
tions. Proceedings of other associations and 
societies are indexed only in accordance with 
the subject discussed. Short descriptions of 
machine tools appear only under the heading 
"Repair shop equipment" and are not indexed 
alphabetically, because of the fact that there 
is a wide choice in most cases of the proper 
keyword to be used. 



CLASSIFIED LIST OF KEYWORDS 



ACCIDENTS AND ACCIDENT 
PREVENTION 

Accident claim department 
Accidents (including wrecks) 
Safety-first 

CARS AND OTHER VEHICLES 

Car design 

Cars 

Locomotives 

Motor buses 

Motor cars, Gasoline 



CAR EQUIPMENT 

Axles 

Bearings 

Brakes and compressors 

Controllers and wiring 

Couplers and bumpers 

Current collection 

Gears and pinions 

Motors 

Seats and windows 

Wheels 

EMPLOYEES 

Employees 

Labor 

Strikes and arbitrations 

Wages 

PARES 

Fare collection (including 
apparatus ) 

Fares (general) 

Tickets 

Traffic investigations 

Traffic stimulation 

Transfers 



FINANCIAL, LEGAL AND 
STATISTICS 

Accounting 

Appraisal of railway property 

Financial 

Franchises 

Legal 

Maintenance records and costs 

Market conditions 

Operating records and costs 

Public service and regulative 

commissions 
Statistics 

HEAVY ELECTRIC TRACTION 

Heavy electric traction (general) 
Locomotives 

Single-phase railways 

MAINTENANCE OF 
EQUIPMENT 

Heating of cars 

Inspection of cars 

Lubrication 

Maintenance practice 

Maintenance recordfe and costs 

Paints and painting 

Repair shop equipment 

Repair shop practice 

Repair shops 

Tests of materials and equipment 

Welding. Special methods 

POWER 

Coal 

Energy checking devices 
Energy consumption 
Overhead contact system 
Power distribution 



Power generation 

Power stations and equipment 

Substations and equipment 

STRUCTURES 

Carhouses and storage yards 
Power stations and equipment 
Repair shops 

Substations and equipment 
Waiting stations 

TRACK 

Pavement 

Rails 

Rail joints and bonds 

Special work 

Ties 

Track construction 

Track maintenance 

TRAFFIC AND TRANSPOR- 
TATION 
Freight and express 
Multiple-unit trains ' 

Operating practice 
Publicity 

Public, Relations with 
Schedules and timetables 
Signals 

Stopping of cars 
TraflSc investigations 
Traflic regulation 
Traffic stimulation 

MISCELLANEOUS 

Management 
Municipal ownership 
Record forms 
Snow removal 
Standardization 
Subways 



INDEX TO VOLUME 55 



INDEX TO VOLUME 55 

PAGES BY WEEKS 

Jan. 3 1 to 

Jan. 10 83 to 

Jan. 17 133 to 

Jan. 24 183 to 

Jan. 31 227 to 

Feb. 7 273 to 

Feb. 14 .' . 319 to 

Feb. 21 -. . 363 to 

Feb. 28 421 to 

Mar. 6 461 to 

Mar. 13 503 to 

Mar. 20 551 to 

Mar. 27 631 to 

Apr. 3 679 to 

Apr. 10 735 to 

Apr. 17 785 to 

Apr. 24 839 to 

May 1 881 to 

May 8 927 to 

May 15 975 to 

May 22 1029 to 

May 29 1085 to 

June 5 1127 to 

June 12 1183 to 

June 19 1237 to 

June 26 1289 to 



82 

132 

182 

226 

272 

318 

362 

420 

460 

502 

550 

630 

678 

734 

784 

838 

880 

926 

974 

1028 

1084 

1126 

1182 

1236 

1288 

1339 



Accident claim department: 

— ^Practical ideals for the claim department 

[Bennett]. 891 
— San Francisco Municipal Ry.. Statistics for 

1918-1919, 640 
Accidents : 

— Acqtuttal in Brooklyn trial. 257 
— Armature room su^ffestions. 483 
— Concrete hig-hway crossing's for safety, •744 
— East Port Chester wreck due to man failure, 

•48 
— Missouri Short Line Company free from cross- 
ing- accidents. 454 
, — Revival of safety-first movement necessary. 

Comments on. 275 
— Series of effective safety posters, 443 
Accounting- : 
— Discussed by g-eneral accountant Rhode Island 

Co.. 62 
— Recognize the accounting- department [May], 

251 
Advertising- to better public relations (see Pub- 
lic. Relations with; Publicity) 
Airplanes: 

— Influence of design on cars. 324 
Akron, O. : 
— Northern Ohio Tr. & Lt. Co.: 

Fare increase recommended, 920 

Financial situation, 215; Plan changed, 666 

New carhouse. 1265 

Service at cost proposed. 1166 

Sliding- fare pan suggested. 1.327 

Valuation completed, 1229 

Wage increase sought, 769, 1070 
Albany, N. Y.: 
— United Traction Co.: 

Are welding in ear equipment maintenance, 
•574 

Fare increase, 266 
Allentown. Pa.: 
— ^Lehig-h Valley Transit Co.: 

Hazards of the electric railway field 
[Spring], 1257 
American Association of Engineers: 
— Compensation for engineers discussed, 748 
American Electric Railway Accountants Ass'n.: 
— Reunion proposed [Brockway], cl314 
American Electric Railway Association : 
— Committee of one hundred's work described 

by chairman [Tripp], *25 
— Committee meetings: 

Executive, 95. 1315 

Exhibits, 1108 

Fare systems, 1270 

Merchandising transportation, 861 

Publicity, 1216 

Valuation. 908 
— Company section activities: 

Connecticut Co.. 861, 1009, 1315 

Public Service Ry.. 611 

Rhode Island Co., 612 
— Delegates to Chamber of Commerce meeting. 

611 
— Dues increa.sed. 87; Comments on. 274 
— Hi.story of Presidents 1890-1920 [Clark]. 

•287 
— Information bureau activities. 483 



American Electr/c Railway Assn. (Continued) 
— Interstate Commerce Commission hearing on 

Transportation Act. 956 
— Mid-year meeting, 'SO, 94 
— Mr. Henry testifies before I. C. C, 695 
— President Pardee discusses trolley operation 

as it affects production, 897 
— Protest against higher coal cost, 299, 402 
— Publicity committee needs support [Colton], 

20 
— Returns show increase in November. 490 
— Standards gaining foothold. Comments on, 785 
— Survey of its records and possibilities [Clark], 
•385 

American Electric Railway Claims Assn.: 

— Committe meetings, 1216 

American Electric Railway Engineering Assn.: 

— Committee apjjointments and subject assign- 
ments. (>1 

— Committee meetings, 207, 344, 860, 908, 
1009, 1316, 1315 

— Engineering manual's use urged. Comments 
on, 977 

— Program for 1930. Comments on, 320 

— Report on standardization of track spirals, 
•335 

— Standard material specification [Chance], 111 

American Electric Railway Manufacturers' 
Assn.: 

— Committee meetings. 254 

American Electric Railway Purchasing Agents' 
Assn.: 

— Committee meetings, 1317 

American Electric Railway Transportation & 
Traffic Assn. : 

— Committee meetings, 908 

— Committees and persomiel, 354 

— New committees, 611 

American Electrolysis Committee : 

— Electrolysis research, •755 

American Engineering Standards Committee: 

— Status of work. 443 

American Institute of Electrical Engineers: 

— Comparison of power-plant performance, 468 

— City building and transportation discussed, 
1061 

— Daylight saving discussed, 467 

— Papers at Pittsburgh meeting, 508, '515 

— Super-power committee, 904 

— Super-power plan discussed, •435, 952 

— Traction meeting in Pittsburgh, 597 

American Railroad Assn., Mechanical Sec: 

— Amalgamation with railway electrical engi- 
neers. Comments on, 1237 

— Annual convention : 
Comments on, 1389 

Design, maintenance and operation of elec- 
tric rolling stock, 1200 
Electric trunk line operation report, Com- 
ments on. 1183 
Exhibits. 1205, 1261 
Packing methods for Journals, *1363 
Reports, 1309 ' 

American Railway Engineering Assn. : 

— -Annual convention, 652, 689; Comments on, 
633 

— Electrification report, 695, Comments on, 533 

— Stresses in railway track analysed, '704 

American Society of Civil Engineers: 

-. — Stresses in railway track analysed, *704 

American Society of Mechanical Engineers: 

— Spring meeting, 1107 

American Welding Society : 

— First annual meeting, 954 

Anderson. Ind. : 

— Union Traction Co.: 

Fare increase situation, 418 

Anderson S. C: 

— Southern Public Utilities Co. : 

Concrete stringer tieless track construction, 
•609 

Androscoggin Kennebec Ry. (see Lewiston, Me.) 

Appraisal of railway property: 

— Appraisals and rate making, 955 

— Depreciation a fact, not a theory. Comments 
on, 239 

— Depreciation reserve fund [Pish], ^239; Com- 
ments on, 339 

— Depreciations with special reference to serv- 
ice-at-cost agreements [Warren], 88 

— Detroit, Mich., Valuation completed, 1279 

— Duluth, Minn.. 839 

— "Going value" included by Illinois Supreme 
Court. 119 

— Houston. Tex. valuation, 633 

— Illinois Utilities Committee report on valua- 
tion and return, 801 

— Knoxville Ry. & Lt. Co.. Valuation under way, 
1173 

— Memphis Street Railway situation, 70, 120, 
410 

— New York Rys.. By Stone & Webster, 350. 
543; Report. '901. 

— Norfolk. Va.. Policy toward public utilities. 
Comments on. 736 

— Northern Ohio Tr. & Lt. Co., Valuation com- 
pleted. 1324 

— Philadelphia Commission recommendations, 
1160 

— Pittsburgh Rys. valuation. 672; Comments on, 
736; Protested. 828; Situation. 957 

— Reserves should be pro-vided for. Comments 
on, 83 

— Some lessons from 5-cent fare history [Bib- 
bins], 90 

— -Steam road valuations exceed cost, 1172 

— Toledo Ry. & Lt. Co . Situation, 911, 1015 

— Undepreciated valuations urged, 440 

— U. S. Supreme Court decision, 637 

— Valuation by headlines. Comments on, 331 

— Washington, D. C, Valuations reviewed 
[Knowlton], 469; Comments on 463 



•554, 



Arbitration imx Strikes and arbitrationa) 

Arkansas Utilities Assn.: 

— Meeting, 953 

Argentina; 

— Anglo-Argentine Tramway: 

Maintenance practice [Apeseche], 
•978 
Atlanta, Ga. : 
— Georgia Ry. & Pr. Co. ; 

New cars, ^584 

Overhead practice and experience, 'oSS 

Strike, 614 

Tugaloo hydro-electric development, 826 

Wage increase situation, 404, 488, 536, 
663 
— Traffic conditions [Spectator], 190 
Auburn. N. Y. : 
— Auburn & Syracuse Elec. R R. : 

Car seat and curtain repairs. 

Pare increase granted. 624 
Aurora, 111.: 
— Aurora, Elgin & Chicago R.R.: 

Wage increase sought. 1167; Rejected, 1.316 
Australia : 
— Melbourne Suburban Railways electrified, 

•136 
— Victoria one-man car operating data, 1206 
A. 13 strin. ' 

— Trolleys handle freight, 1062 
Automobile sanding car, Utlca, ^396 
Axles: 
— A. E. R. E. A. standard material specifications 

[Chance], 111 



'573 



B 



Baltimore & Ohio R.R. : 

— Electrification operating experiences, 1200 

Baltimore. Md. ; 

— United Rys. & Elec. Co.: 

Bus operation [Palmer], ^13; [Jackson], 
850 

Pare increase granted, 124 

Handling shipyard traffic at Sparrows 
Point [Palmer] , ^930 

Income statement for 1919. 1019 
Bamberger Elec. R.R. (see Salt Lake City, 

Utah) 
Bearings : 
— Handy chuck for boring armature bearings 

(Pa. -New Jersey Ry.), 396 

Lubrication of [Dean], 991 
Beaver Valley Tr. Co. (see New Brighton, Pa.) 
Berkshire Street Ry. (see Pittsfleld, Mass.) 
Binghamton, N. Y. ; 
— Binghamton Ry. : 

Debts being paid off, 1030 

Fare Increase sought, 671 

Strike, 616 
Birmingham, Ala. ; 
— Birmingham Ry.. Lt. & Pr. Co.: 

Design of a simply constructed substation 
with noiseless feature. *50i3 

More tolerant attitude by city, 1272 

Notes extended, 1116 

One-man cars successful, 311 

Safety cars, 905 

Track construction from the paving main- 
tenance standpoint. ^569 
— Electric traction conditions [Spectator], 193 
Blue Hill Street Ry. (see Canton. Mass.) 
Bolts: 
— Specification for bolts used in construction 

[George], ^387 
Border Cities Ry. (see Windsor, Can.) 
Boston, Mass.: 
— Boston and her trolley cars [Hungerford], 

•1033 
— Boston Elevated Ry. ; 

Analysis of earnings [Consulting Engineer], 
1369 

Annual report, 964 

Mayor thinks trainmen well paid, 101-4: 
Comments on, 1039 

Receipts and cost of services for 17 months, 
316 

Snow removal, '900 

Three-car trains [Dana], 195 

Wage increase, 962. 1222 

Wage increase sought. 769 
- — Eastern Massachusetts Street Ry.: 

Arbitrators chosen for wage disputes, S67 

Discontinue service in Salem due to jitney 
competition. 175 

Gross income. Increase of. 353 
— Stone & Webster: 

Annual reports of companies under man- 
agement. 450 

Summary of general conditions. 662 
Boston & Mame R.R. ; 

— Hoosac Tunnel electrification operating ex- 
periences, 1201 
Brakes and compressors: 
- — Compressor overhauling practice in Buflalo 

[Hulme]. *60S 
— One man car equipment [McCime], '790 
— Safet.v-car control and air brake equipment 

[MoCune], •1240 
— Surface car trains in Brooklyn. 466 
■ — Trap for pipe scale and undesirable material. 

113 
— Troubles. 813 
Brazil ; 
— Paulista Ry. : 

Contracts. 973 

Electrification. '855 

Locomotive, •1315 



Abbreviations; *Illustrated. c Communications. 
READ THE INSTRUCTIONS AT THE BEGINNING OF THE INDEX 



(see Vancouver, 



414, 622 



IV 



Bridgeport. Conn. : j, ^ ,_ 

—Mayor advocates segregation of suburban 

electric railway lines in Conn., 219 
— One-man car operation, Results of [Callard], 

•304 
British Columbia Electric Ry 

Can.) 
Brooklyn, N. Y,; 
— Brooklyn City R.R. : 

Fare increase situation 
Wants buses halted. 66 
Watered stock claim false, 963 
—Brooklyn Rapid Transit Co.: 

Car painting economy [O'Brien], *5S1 

Car seat and curtain repairs, *573 

Changes in personnel. '128 

Financial situation. 408 

General manager Menden acquitted. 257 

Handling Coney Island's crowds. '187 

New porcelain feeder insulator [McKel 

way], •1267 
Operation of surface car trains, *464 
Removal of snow, ice and sand [Cram], 
•634 
—Motor bus operation [Jackson], *1088 
—Snow removal Methods used. ^390 
— Will Brooklyn be car-less. Comments on, 85 
Buffalo. N. Y.: 
— International Ry.: 

Almost laborless dipping and baking 

plant. '386 
Bondholders meet. 916 
Card record for employees, '342 
•City Council unfavorable to fare increase, 

727 
■Compressor overhauling practice [Hulme], 
•608 
' Tare increase situation. 265. 919 
■Open shop sought, 910, 1068 
■Owl service restored, 356 
Revised schedules bring gain, 
■Sidelights on fare situations 

473 

■Snow removal practice. 637 
Wage increase denied 866 
Wants temporary transfer charge. 414 
— Mayor requests rehearing of International 

Railway case. 177 
3ut]er & Harmony Consolidated Ry. & Pr. Co. 

(see Pittsburg. Pa ) 
Butte. Anaconda & Pacific Ry. : 
— Electric operation [Bellinger]. 1101; Com- 
ments on, 1087; Experiences, 1202 
Butte, Mont.: 
— Butte Electric Ry.: 

Second year of automatic substation opera- 
tion [Nash]. 203 



INDEX 



•478 
[Spectator], 



'V 



Cables : 

— Materials useB in splicing cables. ^1004 

California: 

— Motor buses. Status of, 107 

— State Railway Commission sees railway's 
needs, 67 

California Electric Railway Assn. : 

— Annual meeting, 1104 

Canada : 

— British Columbia Public Utilities Co. abol- 
ished, 919 

Canadian Northern Ry.: 

— Electrification plans, 864 

Canton, Mass.: 

— Blue Hill Street Ry.: 

Receiver discouraged. 618 

Capital Traction Co. (see Washington. D. C.) 

Car design : 

— Airplane gives new data on air resistance. 324 

— A. R. A. report on, 1307 

— Car weight comparisons [Adams], c344 

— Compute car weights by considering total pas- 
sengers carried, ell 3 

— Henry Ford's gasoline motor car. 440; Com- 
ments on, 431 

- — La.vout of standard safety car [Callard]. ^305 

— London's underground railway [Jackson]. 
•378 

— Materials for car construction — Steel [Litch- 
field]. ^803, ^1347 

— Railway car materials — Wood [Litchfield], 
•366 

— Seated weight vs. standing load in car weight 
computation [Squier], cl64 

Carhouses and storage yards: 

— Akron, O.. New carhouse, 1365 

— Wiring rules of N'. F. C. A.. 748 

Cars: 

— Anglo-Argentina Tramway maintenance prac- 
tice [Apesechel. ^554 

— Chicago Surface Lines trailers. •SSO 

— Converting summer trailers into closed cars. 
•1366 

■ — Georgia Ry. & Pr. Co.. New rolling stock, 
•584 

— Milwaukee Electric Ry. & Lt. Co. tries sample 
car. ^954 

— New cars ordered in 1919. ^49 

— New Haven multiple-unit equipment, •1147 

— One man : 

American methods in Italy [Mandell]. 291 
Birmingham. Ala.. 311, 905 
Bridgeport, Conn., Labor favors, 219 
Careful design to eliminate trouble. Com- 
ments on. 1337 
Chicago. North Shore & Milwaukee R.R. 

adopts, •762 
Compared with buses from standpoint of 
economics [Simmon], •1312 



Cars : 

—One-man (Continued.) 

Discussed by Mr. Wheelwright [Brown], 41 
Effect of equipment trust. 1057 

From mechanical man's point of view 

[Newhall]. 394 
Kansas City. Mo.. Cars arrive. 532 
Labor, politicians and the safety car, Com- 
ments on. 1086 
Layout of standard safety car [Callard], 

•205 
Levis, Can.. Operation under extreme 

weather conditions [Weyman], 699 
Mass production of car miles cuts overhead. 

423 
Negro traffic Comments on, 185 
Newport & Providence Ry. accept, 1023 
Number increases 15-fold. 1105 
Osgood-Bradley safety car, *983 
Operating results in Victoria, Australia, 

1306 
Operation of old cars without proper safety 

devices, Comments on. 503 
Operation in snow storm [Weyman], c822 
Possibilities of city street car operation 

[Walker], 692; Discussion, 690 
Proposed for New York City, 8'70 
Safe light rail for. Comments on. 840 
Safety car control and air brake equip- 
ment [McCune], •1240 
Safety car design and application discussed 

by Iowa Elec. Ry. Assn., 1098 
Safety devices. Characteristics and opera- 
tion [McCune], •788 
Statistics of operation, Recent [Callard], 

•203 
Taking the track greaser oft the safety car, 

•385 
Terre Haute, Ind., Results of one year of 
operation, 133; Operation in, 495, 693 
—Single-truck car and double-truck car [Engi- 
neer], cl066 
— Statistics on cars owned 1919, 55 
— Steam : 

Possibilities for street railway service 
[Cusani]. 894 
Central Electric Railway Accountant's Assn.: 
— Annual meeting. 393 
Central Electric Railway Assn.: 
— Annual meeting. 533, 537 

• — -Energy saving discussed at Louisville meet- 
ing 603; Comments on, 633 
— Convention, Papers presented, 947 
Charleston. S. C: 
— Charleston Consolidated Ry. & Ltg. Co.: 

Influence of wages on power plant design. 

•1043 
President Gadsden discusses public utilities, 

1046 
Service betterment and full publicity suc- 
cessful, •lOS 
Substation system doubly safeguarded, '993 
— Charleston Interurban Ry. : 

Cost of maintenance of track and equip- 
ment. 366 . 
Fare increase sought, 77 
Charlottesville, Va.: 
— Charlottesville & Albermarle Ry. : 

Annual report. 916 
Chattanooga. Tenn. : 
— Chattanooga Ry. & Lt. Co. : 

Foreclosure case situation. 1117 
Chicago. Ill : 
— Chicago Elevated Rys.: 

Car seat and curtain repairs, •573 
Difficulties in financing. 940 
Safety organization. ^340 
Wage increase, 1371 
— Chicago Motor Bus Co.: 

Receivership. 667. 1110 
— ^Chicago Surface Lines : 
Annual report, 1073 
Car seat and curtain repairs, '573 
Change in control rumored. 173 
Difficulties in financing, 939 
Earnings for November. 121 
Fare situation. 74. 265, 413, 432, 447; 

Increase, 1336 
Liability for injuries on crowded cars, 447; 

Comments on. 431 
Snow removal practice. •eSS 
Taxes paid to city. Comments on. 1030 
Trail car construction. ^830 
Wage increase sought, 866, 1271 
— Franchise sitution. 34 
— General Dawes blames politics for present 

price of securities. 999 
— Monorail suggested, 345. 403 
— Motor buses in passenger transportation. 146 
— Motor bus operation [Jackson], '1093 
— Standard Gas & Elec. Co.: 

Net earnings for 1919. 360 
Chicago. Milwaukee & St. Paul Ry. : 
— A. E. R. E. A. discusses electrification. 695 
— Coast division electrified. 533 
— Early developments in electrification [Shep- 

ard]. 1311 
— Electric service out of Seattle begins, *601 
— Electrification, Development and operating' ex- 
periences. 1303 
— Holding down load peaks [Linebaugh] 759 
— N. E. L. A. discusses electrification, 1040 
— New passenger locomotives, ^36 
— New power supply, ^481 
— Notes on electrification [Beeuwkes], 1103; 

Comments on. 1087 
— Westinghouse and General Electric locomo- 
tive designs [Batchelder]. [Budd]. [Storer], 
•.508 
Chicago. North Shore & Milwaukee R.R. (see 

Highwood. 111.) 
Chile : 

— Valparaiso German tramway street cars de- 
stroyed. •1043 
China: 

— Shanghai Tram'ways: 
— General situation. 533 



\_Vol. 55 

Cincinnati. O : 

— Cincinnati & Columbus Trac. Co.: 

Fares, Comparison with Cleveland, 710; 
Comments on. 679 

Kroger line sold for junk. 354 

Plan to finance line, 171 
— Cincimiati Traction Co.: 

Baseball scores, Cincinnati fans vs. fare in- 
crease, 1033 
— Subway plan presented, 167 

City & Suburban Ry. (see Washington, D. C.) 
Cleveland, O.: 
— Cleveland Ry. : 

Arbitration findings, 71 

Dividend case complications. 1277 

Fares. Comparison with Cincinnati, O. 710 

Schedule hearings, 1067 

Seat cleaning [Sohl], •1267 

Sidelights on fare situations [Spectator], 

471 
Tayor grant after ten years of trial 

[Hungerford], ^1392 
Wage increase sought. 769; Rejected. 826; 
Plan accepted. 1016 
— Franchise changes, 24 
— ^Lake Shore Electric Ry. 

Annual report, 1173 
— Rapid transit plans [ Brinckerhoft ] , ^856 
— Street railway commissioner recommends im- 
provements. 345 
— Subway campaign, 346, 716, 769, 863 
Clinton. Davenport & Muscatine Ry. (see Mus- 
catine, la ) 
Coal : 

— (See also market conditions.) 
— A. E. R. A. at coal hearing. 402 
— Coal handling in the power plant. ^296 
— Coal-handling system at Wilmington, N. C, 

— Effects of electrification on fuel shortages 
[Armstrong], 376 

— ^Indiana public utilities protest coal price in- 
crease, 212 

— National bodies protest coal price change, 

— Powdered coal: 

Burning, Comments on, 462 
Cost of preparing [Barnhurst], el066 
For boilers, 936 
For peak loads [Rau], 1094 
Makes good saving in Milwaukee [Ander- 
son], •473; Discussion of Mr. Anderson's 
paper [Thompson], 476 
Plant at Seattle, 482 
Plant for Philadelphia Rapid Transit Co., 

Plant with compressed air transport. ^817 
Under boilers [Marsh]. 765 

— Purchasing on specifications. 955 

Columbus. Newark & Zanesvllle Elec. Ry. (see 
Springfield, O.) 

Columbus, O. : 

— Columbus Ry. Pr. & Lt. Co.: 
Fare increase, 355. 776 

Company sections (see American Electric Rail- 
way Assn.) 

Concrete ; 

— Reinforced concrete in railway work, refer- 
ence, 568 

Connecticut : 

— State Chamber of Commerce recommends legis- 
lative reUef, 776 

Connecticut Co. (see New Haven. Conn.) 

Connecticut Valley Street Ry. Co. (see Green- 
field. Mass.) 

Controllers and wiring: 

— Contactors on multiple unit equipment. In- 
spection of, 806 

— Control system for Westinghouse locomotives 
[Storer], ^511 

— Jumpers, Testing for weak spots, 813 

— One-man car equipment [McCune], •791 

—Safety car control and air brake equipment ' 
[McCune]. ^1240 

— Troubles and remedies, •381, 814 

Couplers and bumpers: 

— Autcmatic car. Air and electric in Brooklyn. 
466 

Crossing signals (see Signals) 

Cuba : 

— Hershey Cuban Ry. being electrified [Peters]. 
•757 

Cumberland County Pr. & Lt. Co. (see Portland 

Me.) 
Current collection : 
— Energy consumption devices [Ewing], 643 



D 



Dallas, Tex.: 
— Dallas Ry : 

Bonus system started, 176 

Fare increase sought, 1118 

New transfer forms, 1077 
— New interurban line assured, 1158 
— Texas Electric Ry. : 

Annual report. 618 

Earnings for 1919. 305 

Improvements. 213 
Davenport. la. : 
— Tri-City Ry. & Lt. Co.: 

Fare and labor crisis. 1069 

Service suspension prevented by Court. 1169 
Daylight Saving: 
— Discussed by A. I. E. E.. 467 



Abbreviations: '^Illustrated, c Communications. 
READ THE INSTRUCTIONS AT THE BEGINNING OF THE INDEX 



January- June, 1920] 



INDEX 



Denver. Col.: 

— Denrer Tramway Co.: 

Concrete string-er track [West], c714 
Fare increase situation, 1070 
Franchise s tuation, '34 
Snow removal practise, 637 
Wage situation, 485, 730, 1223 

Depreciation (see Appraisal of railway prop- 
erty) 

Des Moines. la.: 

— Des Moines City Ry. ; 

Automatic substations [Chambers], '738 
Wage increase soug-ht, 303; Court to de- 
ei(ie scale, 1067 1112; Set precedent. 
Comments on. 1185 

Detroit. Mich.: 

— Board of Street Railway Commissioners ap- 
pointed, 311 

— City Council approves mayor's railway plan, 
169: Opposes loop system, 345 

— City to vote on appropriation for municipal 
system 718 

— City vs. United Ry. situation, 959 

— Construction of municipal lines urged, 1166 

— Detroit United Ry. : 

Annual report, 353, 411 
Appraisal completed, 1279 
Construction program begrun, 114 
Difficulties in city purchase, 865 
Effect of hurricane on service and equip- 
ment. *199 
Extension program halted, 1012 
Fare increase, 1239 
Municipal ownership election contested, 

833 
Oppose plan of city built system. 615 
Queue loading of passengers, *946 
Repairs to car seats and curtains, '571 
Request for transfer charge withdrawn, 

75 
Strike averted, 1170 
Track construction difficulties with city, 

1109 
Wage increase situation, 1113 

— Financing of municipal lines. Comments on, 
1185 

— Municipal ownership campaign uses movies, 
1071 

— New ordinance upheld, 1374 

— Plans for new line. 66: Bids called for, 1318 
• — Proposed municipal railway scheme situation, 
157. 302, 486, 535, 664. 767. 841 

Doors and steps: 

— New subway door-operating- device. 403 

Dubuque. la.: 

— Dubuque Electric Co.: 

Bus operation [Jackson], 850 

Strike, 824; Ended, 1068 

Duluth. Minn. : 

— Duluth Street Ry. : 

Fare increase sought, 833 

Valuations, 829 
— Duluth Superior, Trac. Co.: 

Annual report, 539 



Eastern Pennsylvania Rys. (see Pottsville, Pa,) 

Eastern Massachusetts Street Ry. (see Boston, 
Mass.) 

East St. Louis. Ill : 

— East St. Louis Ry.: 

Undepreciated valution urged, 440 
Eaist Washington Heig-hts Trac. R.Ru (see 
Washington, D. C.) 

Education : 

— Ya'e establishes chair of transportation, 
Comments on, 1085 

Electrolysis : 

— -Wisconsin Investigation, Comments on, 883; 
Permanent committee, 903 

Employees : 

— (see also Labor; Strikes and arbitrations; 
Wages) 

— Abuses of unions, charges of J. M. Brown. 
535 

— Advertising for platform men. Comments on, 
439 

— Amalgamated Association files complaint 
against Pittsburgh & Joplin Ry., 534, 1013 

— Boston mayor th'nks trainmen well paid, 1014 

— Card record. International Ry., *342 

— Compensation for engineers discussed by 
American Association of Engineers, 748 

— Co-operation urged by Harrisburg (Pa.) Rys., 
220 

— Co-operation with employees in changes of 
polic'es. Comments on. 238 

— Educating apprentice track foreman ^Whit- 
lock]. .380 

— Every employee should be a capitalist, Com- 
ments on. 937 

— International Ry. declares open shop. 1068 

— Kan.sas City. Mo.. Improvement in morale. 
1273 

— ^Labor not a commodity, 661 

— Library as a bus'ness asset [Megargee], 1095 

— ^Louisville 'Ky.) Ry. and Louisville & Inter- 
urban R.R. Welfare Association. 865 

— Master mechanic's ingenuity. Comments on. 
975 

— Pay for brawn vs brains. Comments on, 504 

— Profit-sharing certificates by Butler & Har- 
mony Consolidated Ry. & Pr. Co.. 664 

— Relation with described In year book of Phila- 
delphia Rapid Transit Co., 487 

— Representation plan of Kansas City (Mo.) 
R.y3. reaffirmed. 957 



Employees (Continued) 

— Statistics on living costs from 1919, 1100 

— Welfare work on London's underground rail- 
ways [Jackson], '283 

Energy checking devices : 

— Do power-saving devices actually save power? 
[Arthur], 649 

— Efficiency mileometer [Koehler], 639 

— Meters induce car-energy savings [Gould], 
644 

— Saving electrical energy on the car [Clark], 
647 

— Thermal demand meter. Westinghouse, '817 

Energy consumption: 

— C. E. R. A. discusses energy saving. 603 

— Economical use of energy for car purposes 
[Ewing], 641 

— Effected by motor characteristics and operat- 
ing practice [Scofield], *942 

— In electrical short circuits [Goodwin]. ell08 

— Saving by car meters discussed [Gould], e63 

Express (see Freight and express) 



Fairmont. W. Va. : 

— Monongahela Valley Trac. Co.: 

Held blameless for accident with B. & O.. 
413 

Fare collection : 

■ — Handling shipyard traffic at Sparrows Point 

[Palmer], 930 
— I, R. T. tests fare collection and registration 

device, 989 
— Mechanical devices to handle counting and 

sorting of fares, *893 
— New coinage proposed not desirable. Comment,^ 

on, 1290 
— Ticket stamping machine for zone fares 

[Richey] *42 
Fares : 

■ — -Analysis of cost, Philadelphia (Pa.) re- 
ports, 813 
— Charges for luggage and parcels in Great 

Britain, 338 
— Cincinnati and Cleveland, O., Compared, 711 
— Effect of fare Increases on traffic, St. Louis, 

•393 
— Pare fixing in London, 976 

— Fare increase vs. newspaper increase. Com- 
ments on. 3^4 
— Great Britain's tramway fare problem [Rob- 
son]. 353 
— Higher fare warranted with improved serv- 
ice. Comments on, 431 
— Home rule advocated by mayors, 826 
— Increase fare movement : 

Iowa conditions, Comments on, 1085 

Seattle Municipal Ry., 1228 
— Increases : 

Auburn. N. T., 624 

Baltimore. Md., 124 

Chicago, 111., 413; Comments on, 422 

Chicago Surface Lines, 1336 

Columbus, O., 305, 776 

Detroit United Rys,, 1229 

Hudson & Manhattan R.R., 867 

International Ry,, 919 

Lincoln, Neb., 176 

Michigan Ry , 1325 

Muscatine, la., 124 

Newpoi't News & Hampton Ry., Gas & Elee. 
Co., 1238 

Northern Texas Trac. Co.. 1119 

Portland, Ore., 1325 

St. Paul Ry., 1022 

Seattle & Rainier Valley Ry., 1325 ' 

Seattle Municipal Ry., 1381, 1337 

Toledo Rys & Lt. Co., 767 

Trenton, N. J., 74 

Washington, D. C, 873 

Wisconsin Gas & Electric Co., 831 
— Increases all over the world, CJomments on, 

1339 
— Increases denied : 

Portland Ry., Lt. & Pr. Co., 726 
— Increases increase revenue, 1225 
— Increases sought : 

Akron, O., Sliding fare plan suggested, 1337 

Binghamton N, Y„ 671 

Bridgeport, Conn., 319 

Charleston. W. Va., 77 

Chicago. 111., 265, 447 

Dallas (Tex.) Ry., 1118 

Denver Tramway, 1070 

Detroit United Ry„ 1113 

Dubuque Electric Co., 834 

Duluth Street Ry., 832 

Houston, Tex., 633 

Indianapolis & Cincinnati Trac. Co., 966, 
1118 

International Ry., 727 

Louisville, Tenn,, 133 

Michigan Ry . 675 

Milwaukee, Wis., 1381 

New Haven, Conn., 45.3 

New York City, 75, 123 

Northern Ohio Tr. & Lt. Co., 920 

Pacific Electric Ry., 1326 

Philadelphia Rapid Transit asks three cents 
for transfers, 1175 

Portland. Ore.. 413, 453, 1328 

Rochester, N. Y. 494 

San Francisco. Cal., 133 

Terre Haute, Indianapolis & Eastern Tr. 
Co . 966 

Toledo. O.. 719. 838. 967 

Tri-City Ry. & Lt Co., 1069 

United Rys., St. Louis, Mo., 728 

Union Traction Co. of Indiana, 1118 

Washing;ton, D. C, 135 

Wilmington & Philadelphia Tr. Co.. 1015 



Fares (Continued) 

— Inicrborough Rapid Tranfrit Co., Stone & 
Wefjstcr -i report, 3..>»; Comparison with 
.steam roads. Comments on, 841 
— KansaH City vs. Philadelphia situation com- 
pared, ;i65 
— Lower cost of passenger iares possible 
through electric package freig-ht transport 
[Bibbins], 335 
— Motor bus fares in Los Angeles, Cal.. 941 
— New York City fare petitions withdrawn, 622 
— New York State. Statistics [Clark J. 33 
— l-'iltsbnrgh, Pa., Ten-cent fare upheld. 672 
— Potential competition nature's corre^;tive of 

excessive lares. Comments on, 927 
— Reasons for increases. Comments on, 681 
— Reduced : 

Chicago, 111 , 74 
United Rys., St. Louis, 872 
— Report of Public Service Commission, New 

York, 169 
— St. Paul, Minn., Fare regulation 873 
— Sidelights on some fare situations [Spectator]. 

472 
— Situation discussed by Paul Shoup, 526 
— Situation in Jacksonville. Fla. [Spectator]. 

191 
^Spokane, Wash., Result in. •433 
— Uniform fare comparable to gold mining in- 
dustry, Comments on. .503 
— Universal fare not successful on London's 

underground railways [Jackson], •280 
— Unlimited ride. Transferable weekly pa.ss at 

Racine, *43 
— Zone fare .system ■ 

Boston situation [Hungerford], •1035 
Connecticut Co. System, 330, 365, 777, 
807 ; Appeal decision on rezoning, 858 : 
Comments on change, 881; New zones 
work well, 1033 
Hartford & Springfield Street Ry. estab- 
lish four lU-eent zones. 738 
Holyoke Street Ry,. '749 
Houston (Tex.) Elec. Co. seeks, 833 
New Jersey situation [Eddy], *29 
Progress during 1919, Comments on. 2 
San Antonio, Tex. adopts plan. 101 
San Diego, Cal,, Effective, *7(S 
Washington, D. C. Probable, 671 

Federal Electric Railways Commission: 

— Committee of one hundred's work described 

by chairman [Tripp], 35 
— The commission and its work [Ogburn], '8 

Federated American Engineering Societies : 
— Organized, 1313; Comments on, 1184 

Financial : 

— Advantage of local investors. Comments on, 

365 
— Capitalization of railways not excessive 

[Witt], 445 
— Capitalize the local investor's self-interest. 

Comments on, 1087 
— Chicago Motor Bus Co, receivership, 1110 
— Condition of electric railways [Pardee], 1397; 

Comments on, 1290 
— Detail reports for security holders. Comments 

on, 737 , 
— Difficulties in utility financing, 939 
— Equipment program of Southern Pacific Co., 

1333 
-^Equipment trust grows in la,%'or, 1047; Com- 
ments on, 1030 
— General Dawes blames Chicago politics for 

present price of securities, 999 
— Illinois Public Utilities Commission discusses 

financing with bankers, 917 
— Illinois Public Utilities Commisson hear- 
ings. Comments on, 929 
— Income statement of electric railways from 

December, 1919, 733 
— Increased fares increase revenue, 1235 
— Investment Bankers' Assn. adopt resolution 

relating to public utilities. 1065 
— Investor and the electric railway [ 'Finan- 
cier"], 17 
— Maturities during 1930, 119 
— New York City, Situation, 487 
— Northern Ohio Elec. Corp. financing plans. 

666 
— Outlook for 1930 [Storrs], •5 
— Philadelphia Commission investigation of 

P. R. T., 1160 
— Public Service Corporation resumes common 

dividend, 668 
— Railv7ay census figures, •949 
— Reasonable rate of return on investments 

[Tmgley], 1096 
— Receivership statistics lor 1919. o7 
— Results of zone fares in Holyoke. Mass. *754 
— Rhode Island (3o.. Reorganization. 666 
— Securities sold to customers 1333 
— Situation discussed by chairman of Commit- 

tes of One Hundred [Tiipp], 35 
— Staten Island Midland Ry. receiver appointed, 

430 
■ — Status of public utility securities [Wilcox], 

937; Comments on. 939 
— Trolley freight rates In New England 

[Cosgrove], 198 

Fort Wa.vne. Ind.: 

— Fort Wayne & Northern Indiana Tr. Co.: 

Bondholders buy line, 73 
— Fort Wayne & Wabash Trac. Co.: 

Chnntres in reorganization plan. 171 
— Indiniia Public Sirvice Corp : 

Amusement Park disi-ontinlied, 611 

Fort Worth, Tex.: 
— Texas Traction Co : 

Fare increase granted. 1119 

France : 

— Heav.v electric traction : 
Advances made in, 890 



Abbreviations: ■"Illustrated, c Communications. 
READ THE INSTRUCTIONS AT THE BEGINNING OF THE INDEX 



VI 



Prance (Continued) 

— Inductive interference precautions, 758 

— Super power plant discussed by A. 1. B. E,, 



Franchises : 

• — City has purchase rights in Ohio, 444 

— Company fails to move tracks at city's order. 

Comments on, 1085 
— Detroit (Mich.) United Rys. makes counter 

franchise bid, 615 
— Developments in 1919, 23 
— Errors in early franchises [Witt], 445 
— Evolution during- 1919, Comments on, 1- 
— Milwaukee Elec. Ry, #: Lt. Co. situation, 

107fi 
— Municipalities viewpoint [Culkins], 'lO 
— New Jersev public utility franchise taxes. 

96.3 
— Norfolk, Va., Adopts broad policy toward pub- 
lic utilities, 667 
— Quincy, 111., Situation, 74 
— Portland, Ore,, Vote on rescind of Iranehise, 

966 
— Service-at-a-profit policy in Norfolk. Va., 682 
— Service-at-cost : 

Cleveland's Taylor grant after ten years of 
trial [Hung-erford], •1393 

Depreciation a larg-e element [Bibbins], 90 

Depreciation with reference to service-at- 
cost agreements [Warren). 88 

Discussed by chairman of committee of 
one hundred [Tripp], '28 

Discussed by Mr, Wheelwright [Brown], 
41 

Houston (Tex,) Elec. Co,, 1011 

Indianpolis Street Ry, situation, 914 

Kansas City, Details of, 614 

Memphis, Tenn,, Ordered by P, S. C. Com- 
ments on, 679; Plan, 712 

New York State public hearing, 770. 823 

Ohio Electric Ry, situation, 1013 

Proposed for Akron, O., 1166 

Requested by New York State Rys.. 175, 
919, 1109 

Toledo, 0„ Situation, 68, 347, 404, 485, 
534, 863, 1070, 1110 
— Shore Line Elec, Ry. lease abrogated, 838 
— St, Albans (Vt.) modifies franchise. 168 
— Tacoma, Wash,, Situation. 347 
— Toledo, O.. situation. 167, 213, 256, 613, 

1167 
■ — Town seeks trolley system. Comments on 84 

Freight and express: 

— Advertising express department, Connecticut 
Co., *1265 

— Chicago, North Shore & Milwaukee motor 
dispatch line successful. 'lOBS 

— Co-operation between traction company and 
farmer [Curtis]. '657 

■ — ElecU-ic freight haulage will reduce H. C. 
of L„ Comments on. 330 

— Electric railways an important factor in in- 
creased production. Comments on. 881 

— Freight and parcel service in the United 
Kingdom, •235 

— Freight business should be increased by rail- 
ways, Comments on. 1238 

— Heavy electric traction discussed by N.E.L.A,, 
1041 

■ — Lessons of the switchmen's strike. Comments 
on, 928 

— Let railways do the bussing and trucking 
["Carryall"], 63 

— Opportunities in electric package freight 
transport [Bibbins], 335 

— Shipment of stock via traction. Comments 
on, 461 

— Statistics, Comparison steam and electric oper- 
ation, 697 

— Teuton trolleys handle freight, 1063 

— Trolley freight in New England [Cosgrove], 
197 

— Trolley operation as it affects production 
[Pardee], 898 



Gears and Pinions : 

— Putting on pinions [Dean], 



983 



INDEX 

Great Britain (Continued) 

— Offset reduction in riding habit by establish- 
ment of waiting stations, '330 

■ — ^Relative cost of car and bus operation [Jack- 
son], *683 

— Spacing of car stops, *330 

— Traffic surveys, Comments on. 840 

— Tramway fare problem [Robson], 853 

Great Northern R.R. : 

— Electrification .operating experiences, 1301 

Greenfield, Mass.: 
— Connecticut Valley St. Ry. Co.: 
Bus operation, *853 



[Vol 55 



Georgia Ry. & Pr. Co. (see Atlanta. Ga.) 
Germany: 

— Heavy electric traction. Advances made in 

889 
— Trolleys handle freight, 1062 
Glen Falls, N, Y. : 
— Hudson Valley Ry,: 

Operating at a deficit, 618 

Grand Rapids, Mich,: 
— United Lt, & Rys. Co.: 

Earnings for 1919, 173 

Publish booklet on electric railway situa- 
tion, 356, 

Great Britian : 

— Electrification projects, 717 

— Freight and parcel service, ^235 

— London : 

Annual report of London electric lines, 620 

Fare fixing. Comments on, 976 

Letters from, 65, 166, 301, 484, 715, 909, 

1165 
Metropolitan District Railway's latest cars, 

1164 
Operating London's underground railways 

[Jackson], 376 
Status of transportation by H H. Gordon, 
142 
— Motor bus development in co-ordination with 
electric railway [Jackson], •424 



H 



HaUfax, N. S,: 

— Nova Scotia Tramways & Ry. Co. : 
PubUcity campaign. 1031 

Hampton, Va. : 

— Newport News & Hampton Ry. Gas & Elec. 
Co.: 
Car seat and curtain repairs. *572 
Fare increase granted, 1228 
Summer cars converted into closed type, 

•1366 
Turntables facilitate repair work, 343 

Harrisburg, Pa. : 
— Harrisburg Rys. : 

Annual report, 538 

Booklet urging co-operation given to em- 
ployees. 230 
Hartford. Conn. : 
— Hartford & Springfield Street Ry. : 

Four 10-cent zones established, 728 
— Motor buses menace in storm. 414 

Hawaii : 

— Honolulu Rapid Transit & Land Co, : 
Annual report. 869 

Heating of cars: 

— Coal heaters electrically equipped. '566 

— Method of filling hot-water heater system, 441 

— Osgood-Bradley safety car lay out, 986 

— Thermostatic control saves energy. '1245 

Heavy electric traction: 

— A, I. E, E. & A. S, M. E. consider. 580 

— A. I. E. E. discuss, 600 

— A. R. A. report on trunk line operation. Com- 
ments on, 1137, 1183 

— A, R, E. A, electrification report, 695 

— Bonding and bond testing [Logan] , 1191 

• — Canadian Northern Ry, plans, 864 

■ — Chicago Milwaukee & St, Paul, Coast division 
electrified, 533: Service out of Seattle, 
•601; [Beeuwkes], 1103; Comments on, 
1087; [Shepard], 1311 

— Comments on by National Bank of Commerce, 
488 

— Comment on the French Commission report, 
333 

■ — Co-operation between various committees 
needed. Comments on, 1184 

— Design, maintenance and operation of rolling 
stock, A. R. A. Mechanical Section. 1300 

— Development slow. Comments on, 841 

— Electric operation on B,. A. & P. [Bellinger], 
1101; Comments on, 1087 

— Electrification demands new railroading con- 
ceptions, 883 

— Electrification in Italy [Cusani], 709 

— Electrification program needed. Comments on, 
681 

— Era of steam railroad electrification due to 
open soon. Comments on, 363 

— Fuel oil and electrification in California dis- 
cussed by N, E, L, A., 1065; Comments on, 
1031 

— Great Britain's electrification projects, 717 

— Hershey Cuban Ry, being electrified [Peters], 
•757 

— Illinois Central R, R, electrification approved 
by government, 211; Progress, 1212 

— Melbourne (Australia) Suburban Railways 
electrified, ^136 

— Multiple-unit car maintenance, •IISO; On 
Long Island R.R., •1136; On the New 
Haven, ^1147; On the Westchester. ♦1193 

— N. E. L. A. discusses, 1038 

— New equipment for Philadelphia electrification 
[Smith], •1307 

— Paulista (Brazil) Ry, electrification, •855; 
Locomotive, •1215 

— Proposed electrification in South Africa, 103 

— Railroad electrification in, before and after 
1930, Comments on, 6 

— Report of A, E, R, A.. Comments on, 553 

— Review of world's traction sitution. 889 

— Significance of electrification [Buckland], 
•1187 

— Swedish State Railway electrification, 895 

— Why electrification is an economic necessity 
[Armstrong], •373 

Helena. Mont. : 

— Helena Lt. & Ry. Co.: 

Undepreciated valuation urged, 441 ■ 

Highwood, 111.: 

— Chicago, North Shore & Milwaukee R.R.: 

Car seat and curtain repairs, *573 

Motor dispatch line successful. •1063 

New loop station, *234. 334 

Safety cars in operation. •763 . 

Holyoke, Mass.: 

Zone fares successful, ^749 



Houston, Tex.: 

— Houston Electric Co.: 

Adjustable sign for negro and white separa- 
tion, ^1146 

Bond issue, 916 

Franchise vote. 101 

One-man ear operation. Results of [Callard], 
•304 

Service-at-cost franchise being drafted. 864 

Valuation and fare increase, 632 

Zone system likely, 832 
Hudson Valley Ry. (see Glens Falls, N, Y,) 
Hungary : 
— Appeal from Budapest Consolidated- Street Ry. 

employees [Tivadar]. ell08 
Huntington, N, Y,: 
— Htmtington R,R. : 

Service may be resumed, 72 
Hydro electric development (see Power genera- 
tion) 



Illinois: 

— -"Going value" included in appraisal by state 

supreme court, 118 
Illinois Central R,R, : 
— Electrification approved by government. 211; 

Progress, 1313 
Illinois Electric Railways Assn,: 
— Committee appointments, 659 
— Committee on public utility information per- 
forms real service. Comments on, 505 
— Report on valuation and return. 801 
Illinois Public Utilities Commission: 
— Conference on ways and means of financing 

869 
— Difficulties in utility financing, 939; Comments 

on, 929 
— Financial inquiry, 1074 
— Financing discussed with bankers, 917 
Illinois Traction System (see Peoria. HI.) 
Indiana : 

— ^Public utilities organize, 247 
— ^Public utilities protest coal price increase, 313 
Indianapolis, Ind.: 
— Indianapolis & Cincinnati Tr. Co,: 

Fare increase sought. 966, 1118 
— Indianapolis Street Ry, : 

Annual report, 1378 

Seek traffic solution, 411 

Service-at-cost franchise situation, 914 
— Interstate Public Service Co.: 

Voltage will be standardized, 716 
— Terre Haute, Indianapolis & Eastern Tr. Co.: 

Fare increase sought. 966 
Inspection of cars : 
— ^Multiple-imit car maintenance. *1130; Long 

Island R.R., •1136; Wew Haven, •1147: 

Westchester; ^1193 
Interborough Rapid Transit Co. (see New York 

City) 
International Ry, (see Buffalo, N. T,) 
Interstate Commerce Commission : 
— Transportation Act hearing. 956 
Interstate Public Service Co, (see Indianapolis, 

Ind.) 
Iowa: 

— Comments on railway situation, 1085 
Iowa Electric Railway Assn,: 
— Annual convention, 1098 
— Labor conditions discussed, 1099 
— Safety car design and application discussed, 

1098 
Italy: 

— American methods in Italy [Mandelli], 291 
— Electric railway notes [Cusani], 709 
— Heavy electric traction. Advances mades in, 

890 
— Milan as interurban center, ^896 



Jackson, Miss.: 

— Jackson Lt, & Tr, Co.: 

Reorganization planned, 1018 
Jacksonville, Fla.: 
— Jacksonville 'Traction Co,: 

Fare situation [Spectator], 191 
Janesville, Wis.: 
— Janesville Traction Co. : 

Paving charges withdrawn, 1013 
Jitney buses (see Motor buses) 
Joplin & Pittsburg Ry, (see Pittsburg, Kan,) 



K 



Kalamazoo, Mich, : 
— Michigan Ry, : 

Fare and wage increase, 1335 

Seven-cent fare to be voted on, 673 
Kansas: 
— Court of Industrial Relations created to stop 

strikes, 375 
Kansas City, Kan.: 
— Kansas City- Western Ry.: 

Reorganization, 538 



Abbreviations: '"Illustrated, c Communications. 
READ THE INSTRUCTIONS AT , THE BEGINNING OP THE INDEX 



January-June, 1920] 



INDEX 



VII 



Kansas City. Mo. : 

— ^Analysis and report of traffic conditions by 
Mr. Beeler. *331; Comments on, 331 

— Chamber of Commerce report on railway prob- 
lems. Comments on, 553; Plans for service 
at cost. 014 

— Kansas City, Clay County & St. Joseph Ry.: 
Free from crossing accidents 454 

— Kansas City Rys.: 

Beeler report on traffic regulation, '707 
Comparison with Philadelphia on fares and 
operating- practice, 265 
, Courtesy campaign, 413 

Employees reaffirm representation plan, 957 
ImproTemeut in morale of employees, 1273 
Improvements in traffic congestion and ear 

speed. 726 
Labor conditions [Healy], 745 
Mechanical accounting aids for handling 

fares. '892 
Merchandising transportation [Bufte], 1251 
Philip J. Kealy — and his job [Hungerford] , 

♦884 
Safety ears arrive, 532 

Traffic decreasing 936; Greatly improved, 
1176 

Kenosha, Wis. : 

— Wisconsin Gas & Elec. Co. : 
Fare increase granted, 831 

Kentucky : 

— Proposed bills for public utility regulation, 
613 

Kentucky Tr. & Term. Co (see Lexington, Ky.) 

Knoxville, Tenn . : 

— Knox^-ille Ry. & Lt. Co.: 

Valuation under way, 1173; Appointments, 
1277 

Kokomo, Ind.: 

— ^Indiana Rys. & Lt. Co.: 

Freight locomotive. •397 

Handy shop torch, 1260 



Labor: 

— (see also Employees) 

— Brain power, place in industry. Comments on, 
735 

— Closed shop discussed by Iowa Electric Rail- 
way Assn.. 1099 

— Conditions in Kansas City [Kealy], 745 

— Economies are possible through co-operation 
[Doolittle], 94 

— Effect on electric railways [Harding], 156 
comment. 134 

— International Ry. seeks open shop, 910 

— Kansas City Rys. troubles reviewed [Hunger- 
ford], '886 

— Keeping down the high cost of work [Clark], 
•392 

— Hearings before Industrial Conference, 66 

— ^Labor and capital [McGraw], 947 

— ^Labor contract. Essentials of [Gruhl], 96: 
Comments on, 84, 134 

— Labor politicians and the safety car. Com- 
ments on. 1086 

— Labor provisions of federal Transportation 
Act 1920. 446 

— ^Lawless labor rebuked in Rochester. Com- 
ments on. 927 

— Objections to collective bargaiifing [Todd], 

— Principles practiced by Virginia Company 

[Brown] 39 
— Welfare considered by Wisconsin utility men. 

690 

Lake Shore Electric Ry. (see Cleveland. O.) 
Legal: 

— Amalgamated Association vs. Pittsburgh & 
Joplin Ry.. 534 

— Appeal for just laws and their impartial en- 
forcement. 535 

— Bill to amend Rhode Island Utilities Act in- 
troduced. 213 

— Court makes railway sprinkle streets. 406 

— Crowded cars Liability for injuries on 447; 
Comments on. 421 

— Electric Railway legal decisions, 313, 969 

— IlUnois traction system wins paving ease, 115 

— Kansas creates Court of Industrial Relations 
to stop strikes, 275 

— Labor provisions of Transportation Act 1920. 
446 

— Legislation that hinders labor contracts 
[Gruhl]. 96 

— ^Massachusetts enacts measures aiding rail- 
ways. 168 

— Milwaukee Elec. Ry. & Lt. Co. loses paving 
suit. 536 

— New York. Recent bills. 346, 406, 770; Hear- 
ings on traction situation denied. Comments 
on. 881 

— New York State fare law. 264 

— New York State legislative session results. 958 

— Ohio, Track renewal bill, 766. 959 

— U. S. Supreme Court decision on valuation of 
lands and terminals. 537 

Lehigh Valley Transit Co. (see Allentown, Pa.) 

Levis. Can.: 

— Levis County Ry.: 

One man cars. Operation under extreme 
weather conditions [Weyman]. •699. 822 

Lewi.ston. Me.: 

— Androscoggin & Kennebec Ry.: 
Permanent organization. 350 
Succeeds Lewiston, Augusta & Waterville 
Street Ry., 121 



Lewiston, Me. (Continued) 

— Lewiston. Augusta & Waterville Street Ry.: 

Succeeded by Androscoggin & Kennebec 
Ry., 121 
Lexington, Ky : 
— Kentucky Tr. & Term. Co.: 

Annual report, 830 
Lighting of cars : 

— Osgood-Bradley Safety car layout. 986 
Lincoln, Neb, : 
— Lincoln Traction Co.: 

Fare increase. 176 

Locomotives : 

— Advantages of electric locomotive [Arm- 
strong]. ^373 
— A. I. E. E. discuss, 599 
—Built by Bamberger Electric B.R., •56 
— Design of General Electric locomotive for C. 

M. & St. P. [Batchelder]. [Dodd] '509 
- — Design of Westinghouse locomotive for C, M. 

& St. P. [Storer], ^510 
— Freight, locomotive for Indiana Rys. & Lt. 

Co., *S97 
— Investment feature, Steam verses electric, 

1204 
— New locomotives ordered in 1919, 49 
—Passenger locomotives for St. Paul's Rocky 

Mountain division, '37 
— Paulista (Brazil) electrification, ^1215 
— St. Paul locomotives and standardization. 

Comments on, 504 

London. Can.: 

— London & Port Stanley Ry.: 

Station design for interurban. *1059 
— London Street Ry.: 

Strike, Service resumed, 1317 



Long Island R.R. : 

— Multiple-unit car maintenance. •1136 
— Transportation development. Comments on. 
1127 

Los Angeles, Cal.: 

— Auto deadline reduces congestion, 873 

— Los Angeles Ry. : 

Annual report 963 

Routing changes. 1077 

Wage increase. 663 
— Motor bus operation. 941 
■ — Pacific Electric Ry.: 

Automatic substations. '249 

Bus operation [Jackson], 850 

Buys motor bus system, 1097 

Construction and maintenance of grade 
crossings [Elliott], ^995 

Pare increase sought,. 1326 

New shop at Torrence [Elliott], •SIS 

Wage increase. 663 
— ^Parking ordinance, *633 
— Union terminal and suggested electric lines, 

896. ^1217 

Louisville. Ky. : 

— Louisville & Interurban R.R. : 
Welfare association, 865 

Louisville Ry.: 

Annual report, 540 
Fare increase sought. 123 
Operation report ready, 1168 
Reorganize, Higher fare refused 412 
Report of committee on conditions, 831 
Welfare association, 865 

Lubrication : 

— Anglo-Argentine maintenance practice- — Part 

II [Apeseche], ^981 
— Fatty acids in lubricants, 1008 
— Journal lubrication methods of A. R. A.. 

•1263 
— Linseed oil substitutes, 433 
— Methods [Dean], 991 
— Old tyne motors arranged for oil and waste 

lubrication, 989 



M 



Madison, Wis. : 

— Municipal ownership rejected, 766 

— Vote on municipal ownership, 731 

Mahoning & Shenango Ry. & Lt. Co. (see 

Youngstown. 0.) 
Maintenance practice: 
— Anglo-Argentine Tramway — Part II 

[Apeseche]. '978 
— Construction and maintenance of grade cross- 
ings on Pacific Electric [Elliott]. '995 
— Electric railway motors — Part II [Dean]. 990 
— Failure of motors due to storms. 801 
— Improvements in during 1919. Comments on. 

3 
— Motor maintenance in winter. Comments on. 
1086 

Maintenance records and costs: 

— Automatic power-saving and safet.v devices 
may increase maintenance costs. Comments 
on, 5.52 

— Distinction between depreciation and main- 
tenance [Fish], 240; Comments on, 329 

— Multiple-unit car maintenance on New Haven, 
•1147 

— Multiple-unit car maintenance on the West- 
chester. ^1193 

— Pulverized coal for fuel makes good saving 
in Milwaukee [Andersen], 475 

— Railway census figures ^949 

— Reclamation shop effects savings in Connecti- 
cut, '585 

— Track construction [Clark], ^392 



Management: 

— Buying advice and eauipment, Commentg on. 

977 

— Chicago Elevated Kys : 

Organization for safety, 'SiO 

— Economies are possible throug^b co-operation 
[Doolittle I. 94 

— Good offices add dignity to company. Com- 
ments on, 10.31 

— Incentive for good management [Pilzgerald], 
1000 

— Louisville Ry.. Reorganize, 412 

— Pessimistic executives. Comment.s on. 227 

— Philadelphia Rapid Tran.sit Co.. Change in 
corporate structure recommended by 
Mayor's Committee. 1112 

— Skilled management essential [McGraw]. 948 

— Supervisory regulations management. Com- 
ments on. 882 

Market conditions: 

— Air brakes, 1082 

— Aluminum conductor. 1235 

— Armature and field coils. 1082 

— Battery cars, 1125 

— Brass. 180 

— Brazil markets. 1082 

— Brush-holders. 635 

— ' ar orders for Jan. and Feb., 816 

— Cars (Large), 458 

— Cement, 1234 

— Coal. 130, 334, 360, 676, 836. 1026, 1124. 
1386. 1333 

— Copper products, 879 

— Copper wire. 458 

— Cotton sheeting. 1083 

— Cotton yarn. 418 

— Couplers. 500 

— Credits. 732 

— ^Delivery situation seriotiB, 1180 

— Deliveries. Comments on. 7 

— Electrical materials, 972 

— Electrical sheet steel, 548, 924 

— Electric railway materials, 925 

— Electric tools, 1333 

— Fibre conduit, 676 

— Foreign trade, 459 

— Freight conditions, 676. 1134 

— Hand fare registers, 1286 

— Glass. 316, 878 - 

— Gear cases, 360 

— General Electric expanding in supply field, 

131; Sales, 836 
— Generating and distribution equipment, 181 
— Hardware, 225, 500 
— Heaters, 733 

— High tension insulators, 1286 

— Insulation material, 782. 1235 

— Insulators, 335, 783 

— Insurance for employees, 628 

— Lightning-arresters, 370, 629 

— Line hardware, 1234 

— Magnet wire, 677 

— Malleitble castings, 360, 1333 

— Malleable steel, 676 

— Mazda lamps, 733 

— Metal prices, 317, 501, 733, 1135 

— Metals, 925, 972 

— Motors, 181, 733, 1332 

-^Packing conditions, 6'77 

• — Paints and varnishes, 271, 418 

— Pole line material, 629, 973 

— Poles, 1180 

— Power auxiliaries, 1134 

— Power saving devices, 973 

— Rails, 130, 334, 317, 1027 

— Rail and track supplies 1083 

— Railway material prices, 317, 501, 733. 1287 

— Railway signals. 878 

— Railway supplies. Sales for 1919. 80 

— Recording meters. 973 

— Rolling stock, 418, 549 

— Safety car equipment, 418, 783 

— Safety cars. 1339 

— Safety tread 1026 

— Shellac. 360 

— South and Southwest. 180 

— Snow plows. 733 

— Spikes, bolts and nuts. 371 

— South American, 270 

— Steel. 334. 360, 501 

— Storage batteries, 973 

— Subway cars. 1037 

— Switchboard instruments. 130 

— Tool handles. 1286 

— Track maintenance and reconstruction, 628 

— Traction prices. 1181 

— Transformers. 629 

— Trolley cord, 676, 924 

— Trolley shoes, 1335 

— Trolley wire, 1333 

— Turbo-units. 1180 

— Varnish and enamel. 836 

— Waste. 1334 

— Westinghouse promotions. 1333 

— Wood pole accessories. 1334 

— Wood poles. 628 

Maryland: 

— PubUc Service Commission. Rates must be 
based on "Fair present valve." 261 

Massachusetts : 

— Jitney and trolley competition. 230. Comments 
on. 338 

— Legislature enacts measures aiding rail- 
ways, 168 

— Ti-action situation [Hungerford]. '847 

Memphis. Tenn.: 

— Memiihis Street Ry.: 

Appraisal situation, 70, 130 

Scrvice-at-cost plan, 713 

Valuation, 410 
— Service-at-cost franchise ordered by P.S.C , 

Comments on. 679 

Meters (see also Energ>- checking devices) 
— Ohmmeter (Thompson-Levering). •862 
— Vacuum tube type electrostatic glow meter. 
•lOOS 



Abbreviations: *Illustrated. c Communications. 
READ THE INSTR.UCTIONS AT THE BEGINNING OF THE INDEX 



VIII 

Milwaukee, Wis.: 

— Milwaukee Elec. Ry. & Lt. Co.: 

Annual report, 773 ,0,0 

City may finance extensions, IdlS 
Fare increase sought, 1381 
Franchise situation, 1076 
Home investors, 1116 
Interurban order suspended, 413 
Motor bus operation started, 966 
Paving suit lost, 536 

Pulverized coal lor fuel makes good sav- 
ing [Anderson], •473 
Results of petition lor electrolysis com- 
mittee. 903 
Sample car tried, *9.o4: 
Securities sold to customers, 1322 
Service by interurban in city may be 
stopped, 264 , - ,. 

Signal installation for through and halt 
way operation, '162 
- — -Traffic plan used in Detroit will be tried, 1338 

Minneapolis, Minn. : 

— Franchise situation, 24 

— Minneapolis Street Ry.: 

Construction program, 404 
— Twin City Rapid Transit Co. : 
Annual report, 492 
Signal maintenance and overhead kinks, 

♦579 
Wages and fares discussed with city repre- 
sentatives, 1316 
Missouri Association of Public Utilities: 
— Annual convention, 1205; Papers, 1251 
Monongahela Valley Tr. Co. (see Fairmont, 

W. Va ) 
Monorail systems : 

— Suggested for Chicago, 345, 403 
Montreal, Can. : 

• — Statistics on Montreal traffic, '200 
— Traction situation [Hungerford], 848 
Motor buses: 

■ — -Absurd claims lor, 404; Comments on, 365 
■ — Anti-jitney publicity, 672 
— Application lor denied in Seranton, 1176 
— Auto vs. street car, Calilornia State Railroad 

Commission, 67 
— Brooklyn (N. Y.) City R.R. wants buses 

halted. 616 
— -Bus situation discussed by Mr. Shoup, 526 
— Carrying capacity of buses and cars [Town- 
ley], c300 
— Car vs. bus as to speed and obstructiveness. 

184 
— Cause discontinuance of railway service in 

Salem. Mass., 175 
— Chicago Motor Bus Co. in receivership, 1110 
• — Competition with trolley for freight in New 

England [Cosgrove], 198 
— Connecticut Valley Street Ry. Co., Bus opera- 
tion, 853 
— Curbing ol jitney competition in Massa- 
chusetts, 230 
— Development in Great Britain in co-ordina- 
tion with electric railway [Jackson], '424 
— For special service only [Simmon], •1312 
. — Future development in New York City, Com- 
ments on, 184, 551, 633 
■ — How buses are run in Baltimore [Palm#r], 

•13 
— Jitney and trolley competition in Massa- 
chusetts, 230; Comments on, 228 
— ^Let railways do bussing and trucking 

["Carryall"], c63 
— Los Angeles auto dead line, 872 ; Bus opera- 
tion, 941 
— Menace in storm at Hartlord, Conn., 414 
— Milwaukee Elec. Ry. & Lt. Co., starts opera- 
tion. 966 
— New York City to buy buses, 616; Court 

orders to cease operation, 874 
— Operation by railway companies. Comments 

on. 319 
— Pacific Electric Ry. buys motor bus system, 

1097 
— Passenger transportation in New York and 

Chicago, •146 
— Possibilities ol non-electric street railway car 

[Cusani], 893 
— Proposed lor Broadway, N. Y. C,, 115 
— Public Service Ry. takes light to courts. 

1339 
— Ratio ol obstructiveness, London report, 143 
• — Real and fictitious bus flexibility. Comments 

on, 338 
— Receiver lor Chicago Motor Bus Co., 667 
— Regulation in Seattle upheld, 1380 
— Seattle (Wash. I Municipal Ry. requests jitney 

menace removed. 873 
— Staten Island. Operation. •430 
— Status in Calilornia, 107 
— The place ol the bus [Jackson], '683, ♦849, 

•1088 
— Why jitneys are not driven out. Comments on, 

463 
Motor cars. Gasoline: 
— Diesel electric cars in Sweden, 437 
— Henry Ford's railway car, 439: Comments on, 

431 
— Points about Ford engine for street cars, 

343 
— Type used for Hetch Hetchy R R , San Fran- 
cisco, •438 
Motors: 
— Armatures: 

Field coil bake oven, *399 

Cleaning with air ejector. ^577 

Dipping tank with air pressure and air 

control. San Francisco, 396 
Keeping dust out ol. •606 
— Characteristics. Effect on economy ol opera- 
tion [Scofield], ^943 
— Commutator leads break. Causes for, 814 
— Delects ol 1,300-volt armatpres corrected 

with amber baking varnish. 381 
• — Failures due to severe weather, 801 
— General Electric locomotives [Batchelder], 
[Dodd], ^509 



INDEX 

Motors (Continued I 

Handy chuck for boring armature bearings. 

Pa. -New Jersey Ry., '396 

— Machine lor winding small armatures. •2ol 

- — Maintaining electric railway motors [Dean], 
•990 

— Maintenance in winter. Comments on, 1086 

— Maintenance practice [Dean], ^793 

— Old type motors arranged lor oil and waste 
lubrication, 989 

— Paint substituted for string band reduces 
grounded commutator troubles, *398 

— Reboring motor shells with home-made equip- 
ment [Drexler], ^429 

— Safety precautions in winding armatures, 
483 

— Severe weather causes troubles. Comments on, 
786 

— Single phase motor for traction service. Com- 
ments on, 976 

— Snow causes difficulties. Comments on, 680 

— Testing after repair, *1003 

— Transformer action ol tapped field railway 
motor [Squier], ^383 

— Troubles and remedies, 382, 813 

Multiple-unit trains: 

— Calcium chloride to remove sleet from third 
rail, 1344 

— Maintenance of multiple-unit equipment, 
•1130; On the Long Island R.R., ^1136; 
Comments on, 1337; On the N. Y., N. H. 
& H. R.R., *1147: On the Westchester, 
•1193 

— Mechanical operating troubles, 813 

— New equipment for Philadelphia electrifica- 
tion [Smith], •1307 

— Place in heavy transportation. Comments on, 
1139 

Municipal ownership (see also Public owner- 
ship) 

— Combined with operation by a corporation 
["Financier"], 17 

— Discussed by Ole Hanson, 902 

— -Detroit, Mich., situation, 311. 257, 303, 486, 
535, 664, 718, 767, 833, 841, 1071 

— Financing of lines. 1185 

— Interborough Rapid Transit President against, 
411 

— Madison, Wis.. Con-siders. 731; Rejects, 766 

— National Municipal League deplores lack of 
public policy. 953 

— Not the solution for plight of electric rail- 
ways [Harding]. 156: Comment on, 134; 
[Pardee], 1297; Comments on, 1389 

— Ottawa, Can., City officials favorable, 403 

— Seattle, Wash., Shake-up in organization, 719; 
Loss in 1919, 734; Sobering up, 1174; In- 
vestigating railway purchase, 1220 

— Toledo, O., Railway will sell to city, 663, 
1110 

— Washington, D. C, Urged, 911 

Muscatine, la.: 

— Clinton, Davenport & Muscatine Ry. : 

Fare increase granted by public, 134 



IVol. 55 



N 



Napa, Cal. : 

• — San Francisco, Napa & Calestoga R.R.: 
Annual report, 963 

National Electric Light Assn.: 

— Annual convention, 1038; Reports and discus- 
sions. 1157 

— Fuel oil and electrification discussed, 1065, 
Comments on. 1031. 

— Heavy electric traction discussed, 1038. 

National Fire Protection Assn. : 

— Car house wiring rules, 748 

National Municipal League : 

— Lack of public policy deplored, 952. 

National Safety Council: 

— Publicity on carelessness of auto drivers, •986 

Nebraska : 

— Income statements of six companies, 1116 

Newark, N. J.: 

— Motor bus operators [Jackson], *1088 

— Public Service Ry. : 

Arc welding rail joints without planing 

plates [George], ^1254 
Common dividend resumed, 668 
Court fight against buses, 1229 
Handling wet sand from a hopper [George], 

•581 
Three hundred cars ordered, 924 
Tie rod specifications [George], 655 
Valuation bill vetoed by Governor, 954; 

Passed over veto, 1018 
Voluntary, wage increase. Comments on, 882 

New Brighton, Pa.: 

— Beaver Valley Tr. Co.: 

Car seat and curtain repairs, ^573 

New England Street Railway Club: 

— Annual banquet, f;60 

— Saving transportation costs, 1311 

New Haven, Conn. : 

— Connecticut Co.: 

Advertising express department, *1265 
Armature cleaning with an injector. •S?? 
Briel on lare system filed, 453 
City engineer praises. 861 
Keeping the overhead system fit, ^591 
Maintenance ol way [Dunham]/- '103 
New ticket for zone system, 480 
Reclamation shop effects large savings, *585 
The engineer and the right-of-way [Harte], 

•1301 
Three months' statement. 490 
Zone fare case closed, 365; System modified, 
777, 807; Decision unsatisfactory,- 858; 
Change in svstem. Comments on, 881; A 
success, 1022 



New Jersey : „ „ ^ , , 

. — Public ut-hties discussed by P. H. Gadsden, 

1046 
— Public utility franchise taxes, 963 
— Public Utility Commission: 

Comments on criticisms ol rate advances by 
the public, 116 
— Zone plan [Eddy], 39 
New Orleans, La.: 
— New Orleans Ry. & Lt. Co.: 

Making a losing park pay, ^442; Comments 

on, 423 
Prize contest to take people into front ol 

car, 452 
Rerouting ol lines, 1175 
Skip stop scheme, 906 
Traffic changes urged, 1076 
Wage increase sought, 1271 
Newport News & Hampton Ry. Gas & Elec. Co. 

(see Hampton, Va.) 
Newport, R, I.: 
- — Newport & Providence Ry.: 

One-man car accepted, 1023 
New York & North Shore Tr. Co. (see Roslyn, 

N. Y.) 
New York Central R.R.: 

— Electrification operating experiences, 1200 
New York City: 
- — Board ol Estimate: 

Inquiry into Interborough Rapid Transit 
Co., 123, 175, 219, 310, 356, 405 
. — Commissioner Nixon for square deal, 405 
— Bus Une planned by city, 116, 616; Comments 
on, 551, 633; Operation ordered suspended. 
874, 1176 
— Effect of electrification on Grand Central Ter- 
minal [Armstrong], ^374 
— Fundamental treatment of traction matters 

suggested by Mr. Beard, 213 
— Hudson & Manhattan R.R.: 

Service resumed, 866 
— Inquiry into electric traction companies, Sit- 
uation, 264 
— Interborough Consolidated Corp.: 

Fare increase petitions withdrawn, 633 
— Interborough Rapid Transit Co,: 

Bulletins explain need for higher fares, *206 
City threatens to sieze, 488 
Fare comparison with steam roads. Com- 
ments on, 840 
President against municipal ownership, 411; 

See Hope, 494 
Publicity booklet, 193; Posters, '694 
Receivership averted, 73 
Reply to Board of Estimate inquiry, 1323 
Stone & Webster report on fare situation. 

358 
Tests fare collection and registration device, 

989 
Will sell unused real estate at public auc- 
tion, 173 
— Judge Mayer suggests temporary eight-cent 

fare, 75 
— Manhattan & Queens Corp,: 

Court decides fare case, 264 
— Mid-crosstown loop urged, 212, 335 
— Motor buses in passenger transportation, 146 
— Motor bus operation [Jackson], •lOSS 
— Motor bus operation on Staten Island, '43 
— New York &. Harlem Railroad: 

Takes back lines leased to New York Rys.. 
305 
— New York Rys.: 

Depreciation situation 543 

Fare increase petitions withdrawn, 622 

January income report, 541 

One-man cars suggested by Stone & Webster. 

870 
Transfer charge upheld, 624 
Valuation by Stone & Webster, 350, '901 
— North American Co. : 
Annual report, 838 
New interests in, 1323 
— p>ublie Service Commission: 
Special report, 487 

Urges lair play for public utilities, 168 
— Railway situation discussed by chairman of 

committee ol one hundred [Tripp], 38 
— Receivership situation, 487 
— Richmond Lt. & R R. Co.: 

Strike, 914, 1022 
— Service-at-cost, Public hearing on, 770 
— Snow removal. Methods used ^389 
— Snow ties up lines, 348 
— Staten Island Midland Ry.: 

City blamed in receivership case, 353 
Effect ol suspended operation, 311 
Strike. 914 

Trolley service withdrawn, *430 
— Street car situation on Staten Island. Com- 
ments on, 423 
— Subway investment by city, 444 
— Third Avenue Ry. : 

Thermostatic control investigation, •1345 
- — Traction situation [Hungerlord], •846 
New York Electrical Society: 
— Meeting, 38 

New York, New Haven & Hartlord R.R.: 
— East Port Chester wreck due to man failure, 

•48 
— Electrification operating experiences, 1301 
— Electrification, Significance of [Buckland] 

•1187 
— Improved coal-handling facilities at Cos Cob, 

Conn, ^143 
— Multiple-unit car maintenance, '1147 
New York Railroad Club: 

— Automatic train control discussed, 640, 946 
New York State: 

— Fare increase statistics [Clark], 33 
— Home rule advocated by mayors, 836 
— Legislative session results, 958 
— New York mayors state plans regarding public 

service commissions, 404 
. — Public Service Commission, Second District 
report. 361; Firm stand in Rochester case 
[Pardee], 1297; Comments on, 1290 
— Service-at-eost franchise hearings, 823 



Abbreviations; '"Illustrated, c Communications. 
READ THE INSTRUCTIONS AT THE BEGINNING. OP THE INDEX 



January-June, 1920] 



INDEX 



IX 



New Yorbj State Rys. (see Rochester, Syracuse, 

Utica.) 
New York Westchester & Boston Ry. : 
— Maintenance of multiple-unit equipment, 

•1193 
New Zealand: 

— Conciliation and arbitration report, 1307 
Norfolk. Va.; 
— Policy toward public utiities, 667; Comments 

on, 736 
— Serrice-at-a-profit policy, 683 
Norfolk & Western Ry. : 
— Electrification operating experiences, 1203 
Northern Ohio Tr. & Lt. Co. (see Akron, O.) 
Norwich. Conn. : 
— Shore Line Electric R.v. : 

Abrog^ation of lease postponed, 492 

Apphes for foreclosure. 70 

Claims filed against company, 1324 

Lease abrogated, 828 
Nut locks: 
— Specifications for [GTeorg-e], '988 



o 



Oakland, Cal.: 

— Oakland-Antioch Ry. : 

Reorganization modified, 118 
— San Francisco-Oakland Terminal Rys.: 

Annual report. 963 

Deposit time extended. 1115 

Remote-control sectionalizing switch [Bell], 
*565 

Wage arbitration situation, 114; Increase, 
310 
Ohio: 
— State bill on track renewals. 766 959 

Ohio Electric Ry. (see Springfield, O.) 

Oil: 

— ^Fuel oil and electrification in CaUfornia dis- 
cussed by N. E. L. A., 1065; Comments on, 
1031 

— Use as fuel in south [Spectator], 191 

Oklahoma Public Utilities Assn.: 

— Annual convention. 607 

Omaha. Neb.: 

— Omaha & Council Bluffs Street Ry.: 

Autom/itic substation savings [Jacobi], 
clOlO 

Wage increase sought, 1318; Commission 
hearing, 1319 
One-man cars (see Cars, One-man) 
Operating practice : 
— Automatic control discussed, 640 
— Automatic control of furnaces. *1006 
— Biiflalo's revised schedules bring gain. '478 
— Bus regulations in Great Britian [Jackson], 

•687 
— Car versus bus as to speed and obstructive- 

ness. 184 
— Effect on operating expenses in Buffalo, *478 
— HandUng Coney Island's crowds '187 
— Holding down load peaks on the C. M. & St. P. 

[Linebaugh ] . •759 
— Kansas City, Mo., Suggestions by Mr. Heeler, 

•331: Improvement in traffic congestion. 

726 
— Making best use of the car equipment [Sco- 

fieldl. •942 
— One-man cars in Levis Can., under extreme 

weather conditions [Weymanl. '•700 
— Philadelphia Rapid Transit suburban line 

operation. •ISOo 
— Possibilities of city street car operation 

[Walker]. 692 
— Short headway causes return of pre-automo- 

bile riders. 1.35 
— Surface car trains in Brooklyn, ^464 
— The trolley car and the city man [Hunger- 
ford]. ^842 
— Three-car trains in Boston [Dana], *195 
— Trailer operation. One-way versus two-way, 

1155: Comments on, 1128 
Operating records and costs : 

— Automatic substation operation results [Cham- 
bers] . ^743 
— B. A & P. electric operation [Bellinger], 1101 
— C, M. & St, P. electrical operating costs, 697: 

Electrification [Beeuwkes], 1103 
— Chicago Motor Bus Co.. 1111 
— Connecticut Valley Street Ry. Co. bus opera- 
tion. 85.5 
— Incr'>as?d revenue resulting from increased 

fares. 122.5 
— London's underground railways [Jackson], 

281 
— Railway census figures, ^949 
— Relative costs of car and bus operation in 

Great Britian [Jackson], ^683 
— Saving transportation costs. 1311 
— Thermostatic control records on Third Avenue 

Ry.. ^1245 
Ottawa. Can.: 

— City officials favor municipal ownership. 403 
Overhead contact system:' 
— Details of Melbourne (Australia) Suburban 

Rys. catenary. •136 
— Georgia Ry. & Pr. Co. overhead practice and 

experience, *?>63 
— Infrngement of contactor patent [Nachod], 

c956 
— Keeping the overhead system of Connecticut 

Co, fit. ^.591 
— Overhead kinks at Minneapolis. ^579 



Pacific Electric Ry. (see Los Angeles, Cal.) 
Pacific Gas & Elec. Co. (see Sacramento, Cal.) 

Paints and painting: 

— Car painting Economy in [O'Brien], '561 

— Don'ts in the dipping plant [Dean], 992 

— Multiple-unit car maintenance on New Haven, 
•1147 

Patents: 

— Infringement of contractor patents [Nachod], 
c956 

Pavement : 

— Asphalt paving laid without granite blocks 
alongside rails [Elliott], ^158 

— Chart showing kinds in use by Connecticut 
Co. [Dunham]. •106 

— Concrete highway crossings, '744 

— Concrete paving of Birmingham (Ala.) Ry.. 
Lt. & Pr. Co., *570 

— Construction and maintenance of grade cross- 
ings on Pacific Electric [Elliott], ^995 

— Cost for street with vs. without tracks. Com- 
ments on. 787 

— Freight service being developed in Great 
Britian to save paving, 235 

— Janesville, Wis , Trac. Co, relieved of pav- 
ing charges, 1012 

— Milwaukee Elec. Ry. & Lt. Co. loses suit, 536 

Pennsylvania R.R.: 

— New eouipment for Philadelphia electrification 
[Smith], •1207 

Pennsylvania Street Railway Assn.: 

— Annual meeting, 1163 Report and papers, 

1255 
Pensacola. Fla.: 
— Pensecola Electric Co.: 

Receiver appointed, 306 
Penl-ia. 111.: 
— Illinois Traction System: 

Wins paving case in Tilden, 111,, 115 
Petaluma. Cal. : 
— Petaluma & Santa Rosa R.R. : 

Annual report, 963 

Philadelphia, Pa. : 

— Frankford "ci^"n*--i twines : 

Cost analyzed, 813 
— Mayor's Committ"' submits recommendations 

on P. R. T.. 11(») 
. — Philadelphia Rapid Transit Co.: 

Annual report, 668 ' , 

Comparison with Kansas City (Mo.) on 

fares and operating practice, 265 
Dissension over fare plans, 1239 
Cost analyzed. 812 
Improvements planned, 727 
Mayor's comm'ttee recommends change in 
corporate structure, 1112; Comments on, 
1129 
Powdered coal plant to be installed, 343, 

♦817 
Pulverized coal for peak loads [Rau] 1094 
Safeguarding against intangible accident 

hazards [Roadifer], 1256 
Suburban line operation on 30-second head- 
way. •1305 
Three c^nts for transfers sought, 1175 
Wage increase granted, 826 
Year book describes relations with em- 
ployees, 487 

Pittsburg, Kan.: 

. — Joplin & Pittsburg Ry.: 

Amalgamated Assn. case before Kansas 
court. 534, 1013 

Pittsburgh Pa : 

— Butler & Harmony Consolidated Ry. & Pr. Co : 
Profit-sharing certificates far employees, 
664 

— Pittsburgh Rys.: 

Butt-welded joints, •393 
Eighteen months' report, 119 
Expenditures held up, 957 
Final valuation hearing, 171 
Income account for nine months, 217 
Labor situation threatening, 1113 
Service-at-cost franchise suggested, 304 
Strike threatened. 866; Postponed, 961 
Testing motors after repair, *1003 
"Valuation set by commission, 673; Com- 
ments on. 736; Protested. 828 
Wage increase 661, 1016, 1170, 1221 

— Transit Commissioner removed, '302 

Pittsfield, Mass.: 

— Berkshire Street Ry. : 

Service conditions. Comments on, 975 
Poles : 

— Extension for short poles. '609 
— Reinforcing corroded steel poles, 1065 
— Welding steel poles [McKelway], 560 

Port .lervis, N. Y. : 

— Port Jervis Traction Co. : 

Abandonment protested, 829 
Portland, Me : 
— Cumberland County Pr. & Lt. Co.: 

Arbitration closed, 1218 

Portland. Ore.: 

— Portland R y . Lt & Pr. Co.: 

City ofTic-als favor relief, 412 

City vote on bond issue, 910 

Fare increase situation. 453, 736: Com- 
ments on, 7.36, 1338: Increase. 133.5 

Relief plan illegal, 832; Defeated. 1176 

Vote on rescind of franchise, 966 

Pottsville. Pa.: 

— Eastern Pennsylvania Rys,: 
Financial situation, 409 



Power: 

— Economy increased during 1919, Comnxent« 

on, 3 
— Farm service from interurban linefl, *324 

Power distribution: 

— Distribution problems of Interurbati Kyij. 

IHaganl. •003 
— Porcelain feeder insulator [McKelway). 'ISO? 
— Transmission line location [HarteJ. '1301 

Power generation : 

— (see also coal) 

— N. E. L. A. reports, 1157 

— Water power bill passes Senate, 210; Fails 

to be signed, 1220; Becomes law, 1308: 

Comments on, 1289 

Power stations and equipment: 

— (see also Coal; Switchboard equipment) 
— Automatic control of furnaces, •lOOO 
— Casing for jet condensers, •609 

— Chimney mounting of St, Joseph (Mo,) Ry.. 

Lt.. Ht. & Pr. Co.. 994 
— Closed system of turbo-alternator ventilation, 

480 
— Coal handling in the power plant, ^296: 

Comments on. 1.3.5 
— Comparison of steam power-plant perform- 
ance discussed by A. I. E. E.. 468 
— Firebrick, necessity for. Comments on, 7.35 
— Handling greater power station load with less 

men at Wilmington, N. C. ^322 
— Holding down load peaks on the 0. M. & 

St. P. [Linebaugh], ^759 
— Improved coal-handling facilities at Cos Cob, 

Con., •143: Comment on, 135 
— Influence of wages on power plant design, 

•1043 
— Powdered coal plant with compressed air 

transport, ^817 
— Super power plan [Murray], *435; Discussed 

by A. I. E. E.. 437. 952 
— Technical electrical developments of the 

past year, ^395 
— Turbine generator of Duquesne Lt. Co., ^1064 
— Use of oil for fuel in South [Spectator], 

191 
— Water power plants for Chicago, Milwaukee 

& St, Paul RR., ^481 

Providence, R. I. : , 
— Rhode Island Co. : 

Disintegration probable, 1115 

Fare increase situation, 366 

Financial outlook better, 353 

General accountant discusses accounting, 62 

Legislature fails to help. Comments on. 
975 

Reorganization plans. 318. 166, 72.5 

Segregation plea made. 1334 

State ownership and control suggested. 445 

United Electric Rys. to operate, 960 

Vice-president says reorganization neces- 
sary. 306 
— United Electric Rys.: 

To operate Rhode Island Co., 960 

Publicity : 

— Advertising express department, Connecticut 
Co.. '1365 

— Anti-jitney publicity, 672 

— Auto drivers' carelessness, •986 

— Bulletins of Interborough Rapid Transit Co. 
explain need for higher fare, •306 

— Business press and increased production [Mc- 
Graw], 947 

— Detailed report to security holders. Comments 
on, 737 

— Effect of motor bus publicity on public. Com- 
ments on, 365 

— Federal Electric Railways Commission testi- 
mony by Interborough Rapid Transit Co.. 
193 

— Get closer to the customers, Comments on. 
505 

— "Move Forward Please" inducements. New 
Orleans. 452 

— Motion pictures used in Detroit municipal 
ownership campaign. 1071 

— Nova Scotia Tramways & Pr. Co.. campaign. 
1031 

— Posters used bv Interborough Rapid Tr.insit 
Co.. ^694 

— Publicity direct and indirect [Advertising 
Agent]. c308 

— .Results of practicing publicity [Colton], 19 

— Service betterment and full publicity success- 
ful in Charleston. S C •lOS 

— United Lt & Rys. Co. publish booklet on elec- 
tric traction sitxiation. 356 

— Value to electric railway industry [Colton]. 

— Western Electric begins national advertising 
campaign to help electrical industr.v. '393 

— Wisconsin utility men discuss 690 

Public officials: 

— Senator Harding discusses plight of electric 

railways. ^155: Comments on. 134 
Public ownership: 

— (See also Municipal ownership) 

— State ownership and control suggested for 

Rhode Island Co.. 445 
— U. S. Chamber of Commerce unfavorable. 907 

Public. Relations with: 

— Business men come to aid of utilities. 131S: 
Comments on. 13S9 

— Merchandising transportation [Buffe], 13.51 

— Service during recent railroad strike. .Com- 
ments on 786 

Public service and regulative commissions: 
— Commissions must restore confidence in utility 

securities. 976 
— Illinois. Power to increase rates. 74 
— Managrment vs. Supervisory regulation, SS3 



Abbreviations: ""Illustrated, c Communications. 
READ THE INSTRUCTIONS AT THE BEGINNING OF THE INDEX 



X 



Public service and reg-ulative commissions (Con- 
tinued) .„ , ^ 

— Mr. Henry of A. E. R. A. testifies before 
I. C. C„ 659 . . 

— President names new fuel commission, 500 

— Quick action meritorious, Comments on, 229 

Public Service Ry. (see Newark, N. J.) 
Puget Sound Tr., Lt. & Pr. Co. (see Seattle, 
Wash.) 

Purchasing- : 

— How purchasing agents can help each other 

[Stig-all], 47 
Purchasing Agents & Storekeepers' Assn. : 
— Value of association measured by individual. 

7 



Quincy, 111.: 

— Franchise situation, 74 



INDEX 



\_Vol. 55 



R 



Racine, Wis.: 

— Unlimited-ride transferable weekly pass, '43 

Rail joints and bonds: 

— Arc weld bond (Ohio Brass), '299 

— Arc welding without planing the plates 

[George], •1254 
— Bonding results [Custer], 606 
— Brazed and welded bonds [McKelway], '796 
— Butt-welded joints at Pittsburgh, ♦393 
— Characteristics of rail bonds [Rice], 523 
— Installation and testing on electrified steam 

roads [Logan], 1191 
— Modern methods of prolonging track life 

[Hoffman], 1258 
— Rail joints and welding used by Connecticut 

Co. [Dunham], '103 
— Standardization studied by Bureau of Stand- 
ards. 650 
— Types of rail bonds [Palmer], 529 
— Using the metallic arc for track welding, •253 
— Welded joints becoming extensively used. Com- 
ments on, 1239 
— Which type of bond is best [Rowland], 631 
— Why do mechanical joints become loose 
[George], 987 

Rails ; 

— Burning tie rod holes in, 908 

— Curved heads for girder rails. Comments on, 

631 
- — Safety car rails. Comments on, 840 
— What makes the rails wear out? [Cram], 

•149; Comments on, 133 

Receiverships (see Financial) 

Record forms: 

- — -Anglo-Argentine Tramway maintenance prac- 
tice. Part II [Apeseche], ^981 

— Materials required in spUcing cables. '1004 

— Motor test after repair, ^1004 

— Sand drier test forms, ^819 

— Schedule sheets and records. International 
Ry.. '478 

Regeneration ( see Brakes ) 

Relays (see Switchboard equipment) 

Repair shop equipment : 

— Almost laborless dipping and baking plant, 

•386 
■ — -Armature and field coil bake oven, ^399 
— Chisel-bar holder. ^400 

— Costs of heating rivets electrically, '660 
— Drilling square holes in solid material, '607 
— Electric rivet heaters. *595 
— Exhibits at A. R. A. convention. 1261 
— Handy shop torch. Indiana Rys., 1360 
— Home-made armature-bearing press [Drexler], 

•159 
— Labor-saving devices. Comments on, 1238 
— Machine for winding small armatures, '251 
— Press for armature bearings. Home-made 

[Drexler], ^158 
— Reclamation shop effects large savings with 

Connecticut Co., •&85 
— Truck turntables at Hampton, Va., 343 
— Welding outfit. Special features, A. R. A. 

exhibit I Westinghouse), ^1262 

Repair shop practice: 

— Armature cleaning with air ejector, ^577 

• — Arc welding in car equipment maintenance, 
•574 

— Car seats and curtains, *571 

— Compressor overhauling practice in Buffalo 
[Hulme]. •608 

• — Electric Motors [Dean]. ^793 

■ — Getting liquid out of the carboy, •399 

— Inspection and maintenance of multiple-unit 
equipment. •1130; On Long Island R.R., 
•1136; On New Haven, ^1147; On the 
Westchester, •1193 

— Journal box packing. Standard method rec- 
ommended by A. R. A., ^1363 

— Reboring motor shells with home-made equip- 
ment [Drexler], ^429 

— Safety suggestions for armature room, 483 

— Testing hack saw blades for electric rail- 
way use, ^297 

— Tie rods made over, 568 

— Welding and other ingenious work. Comments 
on, 1183 



Repair .shop practice (Continued) 

— Welding broken pedestals without removing 

the truck, ^400 
■ — -Wheel pressing made a one-man operation, 

•161 

Repair shops : 

— (see also Carhouses and storage yards) 

• — ^Ulumination, Relation to maintenance costs. 
Comments on, 786 

— Long Island R.R.. Multiple-unit car mainte- 
nance shops, *1136 

- — New Haven R.R , Multiple-unit car mainte- 
nance shops, *1147 

— Pacific Electric Ry., New shop at Torrance 
[Elliott], •SIS 

— Rehabilitating a New York State Rys. over- 
hauling shop [Sweet], •567 

Rhode Island: 

— Bill to amend Rhode Island Utilities Act intro- 
duced, 213 

Rhode Island Co. (see Providence. R. I.) 
Richmond Lt. & R.R. (see New York City) 

Richmond, Va.: 

• — Labor, One-man car and other conditions. In- 
terview with Mr. Wheelright [Brown], '39 

— Virginia Ry. & Pr. Co.: 

Car signs and motorman's adjustable mirror. 
•1002 

Rochester, N. Y. : 

— New York State Rys.: 

City's appeal for increased service denied. 

874 
Commission will not order more service, 

414 
Earnings 1919, 449 
Pare increase situation, 356, 494 
Franchise situation, 1109 
Lawless labor rebuked. Comments on, 927 
Rehabilitating an overhauUng shop [Sweet], 

•567 
Requests service-at-eost franchise, 175, 919 
Sidelights on fare situation [Spectator], 

472 
Snow removal practice, 638 
Strike. 960 
Wage increase sought, 720. 1011. 1219 

Roslyn, N. Y.: 

— New York & North Shore Tr. Co.: 
Fare increase sought. 309 
Foreclosure proceedings begun, 1074 
New York City does not want road, 1018 



Sacramento, Cal.: 

— Pacific Gas & Elec. Co.: 

Court makes railway sprinkle streets, 406 
— Sacramento Northern RR.: 

Annual report. 963 

Safety first : 

— One-man cars reduce accidents in Victoria, 
Australia, 1206 

— Hazards of the electric railway field [Spring], 
1357 

— Safeguarding against intangible accident haz- 
ards [Roadifer], 1356 

— Speed versus safety [Heynemann], c*1270 

St. Albans, Vt. : 

— St. Albans & Swanton Trac. Co.: 
Franchise modified, 168 

St. Catherines, Can. : 

— -Niagara. St, Catherines & Toronto Ry.: 

Hydroelectric commission urged to take 
over lines. 448 

St. Joseph, Mo.: 

— St. Joseph Ry., Lt., Ht. & Pr. Co.: 
Chimney mounting. 994 
Track problems [Caflee], '1135 

St. Louis. Mo.: 

— Motor bus operation [Jackson], ^1093 

— United .Rys.: 

Affects of fare increase on traffic, ^292 

City protests 8-cent fare, 738 

Fare reduced, 873 

Improvements suggested, 211 

Mill tax payment in default, 358 

Wage increase sought. 444 

St. Paul, Minn.: 

— St. Paul City Ry.; 

Fare increase granted, 1022 

Fare regulation, 873 

Salt Lake City, Utah; 

— Bamberger Electric R.R.: 

Locomotives built. •66 

Service dividend to employees, 1167 

San Antonio, Tex. ; 
— San Antonio Public Service Co.: 
Zone system, 101 

Sand: 

— Handling wet sand from a hopper [George]. 

•581 
— Sand drier test forms, •819 
— Sanding Car, Utlca, '396 

San Diego. Cal. : 

— San Diego Electric Ry.: 

Service suspensions. 260 

Zone fares effective, '76 



San Francisco, Cal. : 
— Heteh Hetehy R.R.: 

Gasoline motor car, ^428 
— Motor bus operation [Jackson], •1088 
— Municipal Ry. : 

Annual report, 619 

Bus operation [Jackson], 850 

Claim department statistics, for 1918-1919. 
640 

Higher fares necessary to pay present 
wages, 123 

Statement for Jan., 1920, 772 
— Southern Pacific Co. : 

Equipment program, 1322 
— United Railroads: 

Reorganization situation, 173 

San Francisco, Napa & Calestoga R.R. (see 
Napa, Cal.) 

Santa Barbara, Cal. ; 
— Santa Barbara Suburban Ry. : 
Abandonment proposed, 1323 

Schedules and timetables: 

— Bus operation by Connecticut Valley Street 
Ry., •854 

— Cleveland (O.) Ry. hearings. 1067 

— Making best use of the ear equipment 
[Scofleld], *943 

• — Preparation of in Buffalo. '478 

— Rochester's (N. Y.) appeal for increased serv- 
ice denied. 874 

Schenectady, N. Y. ; 

— Comparison of automobile and electric car 

passengers, 533 
— Schenectady Ry. : 

Earnings, 1919, 450 
Scranton, Pa.: 

— Bus application denied, 1176 
Seats and windows : 
— Cleaning machine used in Cleveland [Sohl], 

•1267 
— Osgood-Bradley safety car layout, 984 
— Repairs to car seats and curtains, 'S?! 

Seattle, Wash.: 

— Improvement plans recommended by Munici- 
pal Railway head, 257 

— Investigation of railway purchase. 1230; 
Comments on, 1291 

— Jitney regulation upheld, 1280 

— Municipal ownership not a panacea, 1174 

— Municipal Ry. : 

Annual report. 724 

Discussed by Ole Hanson. 902 

Fare increase. 1381, 1327 

Finance methods, 1117 

Increase fare movement, 1328 

Requests jitney menace removed, 873 

Shake-up in organization by mayor. 719 

— Powdered coal plant. 482 

— Puget Sound Tr. Lt. & Pr. Co.: 

Changes name to Puget Sound Lt. & Pr. 
Co., 733 

— Results of one-man car operation [Callard], 
303 

— Seattle & Rainier Valley Ry, : 
Fare increase. 1335 

Shanghai Tramways (see China) 

Shore Line Electric Ry. (see Norwich, Conn.) 

Signals : 

— Automatic train control. 946 

—Car signs and motorman's adjustable mirror. 

•1002 
- — Electric lighting of signals discussed by 

I.E.S , 590 
— Handling shipyard traffic at Sparrows Point 

[Palmer], •930 
— Inductive interference precautions in France, 

768 
— Installation for through and half way on 

Milwaukee Electric Ry. & Lt. Co., '162 
— Keeping the signals up to the mark [Naehod], 

,52 
— Maintenance of by Connecticut Co., ^591 
— Oscillating motor crossing flagman (Thomp- 
son Signal Company), ^816 
— Relay for direct-current circuit, •lOOS 
— Safet.y crossing signal for interurban lines, 

1007 
— Signalling the approach of cars for connec- 
tion [Restoflsh], •Sge 
— Signal maintenance and overhead kinks at 

Minneapolis, ^579 
— Signal structures, Melbourne (Australia) 

Suburban Rys , •ISS 
- — -Starting for surface car trains in Brooklyn, 

467 
— Suburban line operation on Philadelphia Rapid 

Transit, 1306 

Single-phase railways : 
— Maintenance practice on, •IISO 
— Motor evolution Comments on, 1128 
— Multiple-unit equipment maintenance on the 
Westchester, •1193 

Sioux City Iowa; 

— Sioux City Service Co.; 

Coal heaters electrically equipped. *566 
Skip stop (see Stopping of cars) 

Snow removal; 

— Boston Elevated Ry. Methods. '900 

— BrookLvn. N. Y.. Methods, 'SgO [Cram], •634 

— Conditions, Comments on, 679 

— Electric melters on New York Central R.R.. 

•650 
— Functions of electric railways, 319 
— Heavy duty interurban snowplow [Fer- 
guson], ^338 
— Heavy storm in Atlantic Coast section, 348 
— New York City, Methods used, •389 
— Part taken by the surface railway. Com- 
ments on, 363 



Abbreviations: *Illustrated. c Communications. 
READ THE INSTRUCTIONS AT THE BEGINNING OF THE INDEX 



January- J line, 1920] 



INDEX 



XI 



Snow removal (Continued) 
— Practice East and West, '637 
— Preparedness, Comments on, (Vi'l 
— Scenes of winter, 1919-20, •1060 
— ^"Tank" for snow removal, •650 

South Africa : 

— Proposed electrification, 102 

Southern Electric Railways: 

— Review of situation during 1919, 4 

Southern Pacific Co. (see San Francisco, Cal.) 

Southern Pacific R.R.: 

— Electrification operating experiences, 1303. 

Southern Public Utilities Co. (see Anderson, 
S. C.) 

Southwestern Electrical & Gas Assn.: 
— Annual convention, 1093 

Special work: 

— Chrome nickel steel special trackwork, •799 
— Renewing railway crossings and special work 
[Elliott]. ^370 

Spokane. Wash.: 
— Results of fare increase, •133 
— Spokane & Inland Empire R.R. : 
Foreclosure sale. 493 

Springfield. Mass.: 

— Springfield Street Ry.: 

City for fair deal, 910 

Local financing planned. 458 

Transportation report, 12S0 

Springfield. O. : 

— Columbus. Newark & Zanesville Elec. Ry.: 

Time for deposit extended. 353 ■ 
— Ohio Electric Ry. : 

New franchise situation, 1012 

Standardization : 

— A. E. R. E. A. standard material specifica- 
tions [Chance], 111 
— Frequency standardization. Comments by A. I. 

■ E. E., 438 
— Maintenance practice of Anglo-Argentine 

Tramway, Part II [Apeseche], •979 
— Nut lock specifications [George]-. 988 
— Rail joints by Bureau of Standards, 558 
— St. Paul locomotives and standardization. 

Comments on. 504 
— Tie rod specifications [George], 656 
—Track spirals [Rossell] c659: [Ryder], c659 
— Track spiral. Present status of, •335; Com- 
ments on. 320 

Staten Island Midland R.R. (see New York 
City) 

Statistics : 

— ( see also Financial ) 

— Anglo-Argentine Tramway rolling stock 

[Apeseche]. •556 
— Cars and locomotives ordered in 1919, '49 
— Chicago Surface Lines statement for 1919, 

1073 
— Electric operation on B.. A. and P. [Bel- 
linger], 1101; Comments on, 1087 
— Energj' consumption in car operation 

[Ewing]. 642 
— Equipment Trust issues, 1902-1920, •1052 
— Fare increases in New Tork [Clark], 33 
— ^Franchise developments in 1919, 23 
— Income statement for October, 351 ; Novem- 
ber. 491 
— ^Library as a business asset [Megargee], 1095 
—Living conditions for 1919, 1100 
— London traflic, 620 

— Long Island trolleys report for 1918, 1018 
— Maturities due in 1920, 119 
— Motor bus statistics in Baltimore [Palmer], 

•16 
— Nebraska electric railways statement, 1116 
— One-man cars increase 15-fold, 1105 
■ — Operating statistic for October. 350 
— Railway census figtires. *949 
— Receiverships for 1919, 57 
— Sales of railway supplies for 1919, 80 
— Track extensions and reconstruction in 1919, 

•53 
— Track mileage and rolling stock owned 1919, 

55 
— Traffic in Montreal, Can , ^200 

Steel : 

— Manufacture of steel [Litchfield], •SOS 

Steps I see Doors and steps) 

Stopping of cars : 

— Automatic train control, 946 

— Effect of skip-stop and express service in 

London's vmderground railways [Jackson], 

•27.f) 
— Skip Stops: 

New Orleans Ry. & Lt. Co., 906 
— Spacing of car stops in Great Britain, ^330 

Storage yards for cars (see Carhouses and 
storage yards) 

Strikes and arbitrations: 

— Anti-strike legislation desirable [Harding]. 

1.57. Comment. 134 
— Atlanta. Ga.. Strike situation. 614 
— Binghamton. N. Y.. Strike situation. 616 
— Communities acquiring sense of responsibility 

Comments on, 785 
— Compulsory arbitration of labor contracts 

[Gruhl], 100 
— Dubuque Electric Co., 824. 1068 
— Electric railways profited by switchmen's 

.strike. 912: Comments on. 928 
— ^"il??" * Manhattan R.R,, Service resumed. 

866 



Strikes and arbitrations (Continued) 

— Justice to both sides in arbitrations [Hild], 
92 

— Kansas creates Court of Industrial Relations 
to stop strikes, 275 

— Kansas City Rys. Review of strikes [Hunger- 
ford], •887 

— London, Can., Service resumed, 1316 

— New York State Rys„ 960 

— New Zealand, Conciliation and arbitration re- 
port, 1307 

— Northern Ohio Tr, & Lt. Co,, Wage arbitra- 
tion, 1070 

— Pittsburgh Rys„ Strike threatened, 866; Post- 
poned, 961 

— Richmond Lt. & R.R. Co. situation, 1022 

— Staten Island, N. Y., 914 

— Toledo Rys, & Lt. Co., Settled, 767 

— U. S, Chamber of Commerce passes anti-strike 
resolution, 907, 4268 

— Wage arbitration in Oakland, Cal., 114 

Substations and equipment : 

— (see also Switchboard equipment) 

— Automatic substations : 

Application of [Butcher], 654 

Des Moines City Ry. automatic substations 

[Chambers], ^738 
Discussed by A.I.E.E., 598 
Discussed by Wisconsin utility men, 690 
For heavy city service [Wensley], *519 
Pacific Electric Ry., *349 
Railway substations [Peters], 518 
Savings [Jacobi], clOlO, [Wensley], clOlO 
Second year of automatic substation oper- 
ation at Butte, Mont, [Nash], 202 
Success, Comments on, 737 
Switzerland, Automatic substation opera- 
tion, 703 

— Charleston Consolidated Ry. & Lt, Co. sys- 
tem doubly safeguarded, ^993 

— Design of a simply constructed substation 
with noiseless feature, •506 

— Plashing of 60-cycle rotary converters 
[Smith], 517 

— Remote-control sectionalizing switch [Bell], 
•566 

— Short-circuit protection for direct-current 
substations [Linebaugh], 'SIS 

— Substation operation for street railway serv- 
ice [Bivins], 513 

Subways : 

— Cincinnati, Plan presented, 167 

— Cleveland, O., To be voted on, 346, 863 

— Cleveland rapid transit plans [BrinkerHoft], 

•856 
— Los Angeles, Proposal in connection with 

Union terminal, 896 
— New York City investment. 444 
— Pittsburgh. Pa., Situation, 303 
— Seattle, Wash., Recommended, 357 

Sweden : 

— Diesel-electric cars in operation, 427 

— Swedish State Railway electrification, 895 

Switchboard equipment: 

— Motor operated graphic instruments (Westing- 
house), 'ISIS 
— Uses of auxiliary relay, •1064 

Switches : 

— Remote-control sectionalizing switch [Bell], 
•565 

Switzerland : 

— Automatic substation operation, 703 
— Heavy electric traction. Advances made in, 
890 

Syracuse, N. Y.: 

— New York State Rys.: 

Strike, 960 

Wage increase sought. 1319 



Tacoma, Wash. : 

Fare increase sought, 356, 413 
— Tacoma Ry, & Pr. Co.: 

Franchise situation, 347 

Tampa, Fla,: 

— Electric traction conditions [Spectator], 191 
— Tampa Electric Co,: 

Track construction and maintenance. *559 

Taxes : 

— Ch'cago Surface Lines taxes . paid to city 
during 1919, Comments on, 1030 

Terre Haute, Ind.: 

— Terre Haute Tr. & Lt. Co.: 

Results of operation of one-man cars for 
one year. 183 

Safety cars successful, 495 

Terre Haute, Indianapolis & Eastern Tr. Co. 
(see Indianapolis, Ind.) 

Tests of materials and equipment : 

— Advantage of testing. 382 

— -Aluminum castings Data on, 831 

— Hacksaw blade testing [George], •297 

• — Jumpers, 813 

— Ohmmeter, ^863 

— Railway car materials. Steel II [Litchfield], 

•1247 
— Sand drier test forrps, '819 
— Steel, Manufacture of [Litchfield], •803 
— Testing motors after rejiair, •lOOS 



Texas : 

— Electric traction conditions [Spectator], 192 
Texas Electric Ry. (see Dallas. Tex.^ 
Third Avenue Ry. (see New York City) 
Third rail contact system: 

— Calcium chloride to remove sleet from third 
rail, •1244 

Tickets ; 

— Commutation tickets not desirable. Comments 
on, 1291 

— Holyoke Street Ry, zone fare ticket forms. 
•750 

— Luggage ticket and parcels stamp used in 
Great Britain, •236 

— Subway tickets and their collection in Lon- 
don's tmderground railways [Jackson) , 
•282 

— Unlimited-ride, transferable weekly pass at 
Racine, '43 

— Zone system ticket, Connecticut Co., •480 

Tidewater Power Co, (see Wilmington, N. C.) 
Ties: 

— Douglas fir gives good service, 657 
— Treating and handling discussed by Ameri- 
can Wood Preservers Assn., 653 
— Using old rails for ties [Drury], 163 

Timber, preservation : 

■ — -Tie treating and handling discussed, 653 

Time tables (see Schedules) 

Toledo, O.: 

— Automobile and car data, 309 

— City has purchase right. Opinion of Attorney 
General, 444 

— Municipal ownership and cost-of-service dis- 
cussed, 1110, 1219 

— Toledo & Maumee Valley Ry. : 
Reorganization plans, 1323 

Toledo Rys. & Lt. Co.: 

Fares and wages increased, 767; Fare in- 
quiry, 835; increase sought, 967 

Franchise situation, 68, 167, 212, 347, 
404, 485, 534, 613, 663, 863, 1070. 
1167, 1273, 1316 

History of difficulties [Hungerford], •842 

Side lights on fare situations [Spectator], 
471 

Valuation, 305, 911. 1015 

Wage and fare situation, 718 
— Toledo & Western R.R.: 

May be abandoned, 723 

Toronto, Can,: 

— Municipal ownership situation [Financier], 

17 
— Toronto Ry. : 

Financial statement for 1919, 352 

Track construction : 

— Ballast a vital part [Dunham], *104 

— Birmingham (Ala.) Ry., Lt. & Pr. Co. expe- 
riences, ^569 

— Brooklyn Rapid Transit, For handling Coney 
Island traffic, •187 

— Comments on track built in 1919, 1 

— Comments on track spikes [Schleiter], c300 

— Chrome nickel steel special track work. '799 

— Concrete stringer tieless track construction. 
•609; [Harvey], c658; [West], c714; 
[Wilson], e763 

■ — Construction and maintenance of grade cross- 
ings on Pacific Electric [Elliott], ^995 

— ^Detroit United Ry., Difficulties with city, 1109 

— Instruction book for track department 
[Brown], e764 

— Lag screws vs. bolts in trestle construction. 
•308 

— Progress of department under present con- 
ditions. Comments on, 553 

— Purchasing track spikes under specifications 
[George], ^147 

— Renewing railway crossings and special work 
[Elliott], 370 

— Screw vs, cut spike. Comments on. 133: Is 
use of screw spike justified [Wysor], 521 

— Specifications for steel and track bolts 
[George], 'SSS 

— Spirals, Mathematical discussion of prob- 
lem [Brown], 160; Standardization, Com- 
ments on, 330; Present status of, *335: 
[Rossell], e658; [Ryder], c658 

— Statistics on track mileage 1919. 55 

— Stresses in railway track analyzed by A. R. 
E. A. and A. S. C. E.. ^704 

— Tampa (Fla.) Electric Co. has unique type. 
•559 

— T'e tamper. Centrifugal electric (Kalamazoo 
Railway Supply Co.). •953 

— Track extensions and reconstruction in 1919. 
•53 

— Track swings simplified [Russell]. 643 

— Use of pneumatic tools in [Bulpin]. 391 

Track maintenance : 

— Maintenance of wav for street railwavs [Dun- 
ham], •lOS 

— Modern methods of prolonging track life 
[Hoffman], 125S 

— Sanding car, Utica, ^396 

^-Taking the track gi-easer ofi safety cars. ^385 

— Tampa (Fla.) Electric Co. has low main- 
tenance. '559 

— Tie rod specifications assist in reducing fail- 
ures [George], 655 

— Welding problems at St. Joseph, Mo. [Caffee], 
•1135 

Ti n Iflc investigations : 

— Comparison of automobile and electric ear 

liassengers in Schenectady. 533 
— Connecticut Co. passenger revenues, 809 



Abbreviations: '^Illustrated, c Coinmunications. 
READ THE INSTRUCTIONS AT THE BEGINNING OF THE IXDKX 



XII 

Traffic investig-atioiis (Continued) 

— Difliculties on Fifth Ave., New York City, 

Comments on. 275 
— Effect of increased fares on traffic m St. Louis, 

Mo., 292 
— Effect of street railways on business of mer- 

eliants Comments on, 462 
— Great Britain, Comments on, 840 
— Indianapolis, Ind., Seeks solution to difficul- 
ties, 411 
— Investing- committees should utilize railway 

libraries [Armistead], cl314 
— Kansas City, Mo., Analysis and report by Mr. 

Beeler, ♦331; Comments on, 321, •707; 

Decrease, 9.36 
— London's underground railways [Jackson], 

281 
— Milwaukee will try out Detroit plan. 1328 
— Kandom notes about the south [Spectator], 

190 
— Spring-field. Mass., Report, 1280 
— Statistics on Montreal, Can. traffic, '200 
— Status of transportation in London by H, H. 

Gordon, 142 
^-Trolley operation as it affects production 

[Pardee], 897 

Traffic regulation : 

— Handling shipyard traffic at Sparrows Point 

[Palmer], '930 
— Los Angeles Ry. routing changes. 1077 
— New Orleans Ry. & Lt. Co. traffic changes 

urged, 1076 
— Queue loading of passengers in Detroit, •946 

Traffic stimulation : 

— Bicycle a competitor of electric railway. Com- 
ments on, 883 

— Bring electric traction service to the atten- 
tion of commercial traveling man, 185 

— Co-operation between traction company and 
farmer [Curtis], '657 

— Increasing the off-peak travel. Comments on, 
274 

— Merchandising transportation, Committee 
meets, 861; [Buffe], 12,51 

— Offset reduction in riding habit by establish- 
ment of waiting stations. Great Britain, 
•330 

— Service betterment and full publicity suc- 
cessful in Charleston, S, C, •lOS 

Train operation for surface lines (see Operat- 
ing Practice) 

Transfers : 

— Buffalo, N. Y„ Wants temporary transfer 

charge, 414 
— Dallas Ry.. New forms, 1077 
— Detroit, Mich., Request for transfer charge 

withdrawn, 75 
— New York City, Transfer charge upheld, 634 
— Vancouver, Reused, '48 

Trenton, N. J.: 

— Trenton & Mercer County Tr, Co. : 
Pare increase granted, 74 



u 



Union Electric Co. (see Dubuque. la.) 

Union Traction Co. (see Anderson, Ind.) 

United Electric Rys. (see Providence, R, I.) 

United Railways (see St. Louis, Mo.) 

United Rys. & Elec. Co. (see Baltimore, Md.) 

United Railroads (see San Francisco, Cal.) 

United States Chamber of Commerce: 

— Strike legislation report, 1268 

United Traction Co. (see Albany, N. Y.) 

United States Bureau of Standards: 

— Electrolysis research, '755 

Utica, N. Y.: 

- — New York State Rys.: 

Strike, 960 

Wage increase sought, 1219 



INDEX 



Valuation (see Appraisal of railway property) 

Valdosta, Ga. : 

— Valdosta Street Ry.: . 

Change in ownership, 17,i 

Vancouver, Can.: 

— British Columbia Elec. Ry.: 

Annual report, 539 

Requests enabling legislation, 54cJ 



[Vol. 55 



w 



Basis of wages essential in labor contract 

—Bonus system started by Dallas Ry.. 1J6 „ 

Government increases on interurban Imes, 119J 

— Increases: „„ 

Atlanta, Ga., Situation 488, 530 

Boston Elevated Ry., 962, 1322 

Chicago, 111, 1371 

Denver, Colo., 485, 730 

Georgia Ry. & Pr. Co., 663 

Los Angeles Ry. Corp., 663 

Michigan Ry.. 1335 

Oakland. Cal.. 310 

Pacific Elec. Ry., 663 . 

Philadelphia Rapid Transit Co., 826 

Pittsburg Rys., 661, 1321 

Public Service Ry. Co., Comments on, 88.^ 

Toledo Rys. & Lt. Co., 767 
— Increases denied: 

Aurora, Elgin & Chicago R.R., 131b 

Cleveland (O.) By.. 826 

International By., 866 
— Increases sought : , - „_ 

Aurora, Elgin & Chicago R.R., 1167 

Boston Elevated Ry.. 769 

Chicago Surface Lines, 866 

Cleveland Ry., 769, 1016 

Des Moines (la.) City Ry., 1067, 1112 

Detroit United Ry., 1113 

Dubuque Electric Co., 824 

Eastern Massachusetts Street Ry., 867 

Minneapolis, Minn , 1316 

New Orleans, La.. 1271 

New York State Rys.. 720, 1011, 1219 
■ Northern Ohio Tr. & Lt. Co., 769. 1070 

Ohio-Pennsylvania Electric Co,, 769 

Omaha & Council Bluffs Street Ry., 1218; 
Hearings, 1316 

Pittsburgh Rys., 1016, 1113 

Toledo, O., 718 

Tri-City Ry.. 1069 . .,„,„ 

— Influence on power plant design, •1043 
— Wage arbitration in Oakland, Cal.. 114 

Waiting stations : 

— Brooklyn Rapid Transit, For handling Coney 
Island traffic, '187 . ^ ^ 

— ^Ltne and terminal interchange with steam 
roads [Bibbins], 335 

— Loop station for Chicago, North Shore & Mil- 
waukee Elec. R.R., '334 

— Station design for interurban. London & Port 
Stanley Ry. of Ontario, 'lOSg 

Washington, D. C: 

— Capitol Traction Co.: 

Fare increase granted, 873 

Net income for 1919, 260 
— City & Surburban Ry.: 

Fails to meet interest payment, 306 
— East Washington Heights Traction R.R.: 

Fare increase granted, 873 
— Municipal ownership urged, 911 
— Valuations reviewed [Knowlton], 469: Com- 
ments on, 463 
— Washington Ry. & Elec. Co.: 

Earnings 1919, 215 

Fare increase sought, 135; Granted, 873 

Zone system probable, 671 
— Washington-Virginia Ry.: 

Fare increase granted. 873 

Washington State: 

— Bus operation [Jackson]. ^849 



Water power (see Power generation) 

Waupaca Electric Service & Ry. Co. : 
— Abandonment suggested. 1319 

Wausau, Wis. : 

— Wisconsin Valley Elec. Co.: 

Paving charges withdra-wn. 830 

Welding, Special methods : 

— Arc welding of rail joints without planing 

plates [George], •1254 
— Arc welding in car equipment maintenance, 

•574 
— Automatic welding developed, ^395 
— Brazed and welded bonds [McKelway], •796 
— Mounting for welder, '305 
— Steel poles [McKelway], 560 
— Track welding at St. Joseph, Mo, [Caffee], 

•1135 
— Using the metallic are for track welding. •253 
— Welding broken pedestals without remo-ying 
the truck, ^400 

Western Society of Engineers: 

— Annual meetijig, 339 

— Engineers and pubUe utilities, 863 

— Purchasing coal on specification, 955 

West Virginia Tr. & Elec. Co. (see Wheeling, 
W. Va. 

Wheeling, W. Va. : 
— West Virginia Tr. & Elee. Co.: 
Reorganization terms, 773 

Wheels : 

— A. R. A. report on. 1309 

— Wheel pressing made a one-man operation, 
•161 

Wilkes-Barre, Pa. : 
— Wilkes-Barre By. : 

Modern methods of prolonging track life 
[Hoffman], 1358 

Wilmington, N. C: 

— Tidewater Power Co. : 

Handling greater power station load with 
fewer men, ^332 

Wilmington, Del.: 

— Wilmington & Philadelphia Tr. Co.: 
Labor for higher fares. 1015 

Windows (see Seats and windows) 

Windsor, Can.: 

— Border Cities Ry. : 

Organized by Ontario Hydro-Electric Power 
Commission, 768 

Wisconsin : 

— Electrolysis committee. Plans for future pro- 
cedure, 903 

Wisconsin Electrical Assn,: 

— Annual convention considers safety ears, auto- 
matic substations, labor welfare and pub- 
licity, 690 

Wisconsin Valley Elec. Co. (see Wausau, Wis.) 
Wood: 

— Railway car materials — Wood [Litchfield], 
•366 



Yards (see Carhouses and storage yards) 
Yonkers, N. Y.: 
— Yonkers B.R.: 

Resumes service on Hastings line, 114 

York, Pa.: 
— York Rys.: 

Annual report, 449 

Youngstown, O. : 

— Franchise terms. 33 

— ^Mahoning & Shenango By. & Lt. Co.: 

Wage increase sought, 769 
— Penn.-Ohio Elec. Co.: 

Service-at-cost charges, 1377 



Abbreviations: *Illustrated. c Communications. 
READ THE INSTRUCTIONS AT THE BEGINNING OF THE INDEX 



Jai.uary-June, 1920] 



INDEX 



XIII 



AUTHO R INDEX 



Adams. W. S. 

— Car weifflit comparisons, cSH 

— Compute car weig:hts by considering total 

passengers carried. cll3 
Advertising Agent. Publicity direct and indi- 
rect, c208 
Anderson, John. Pulverized coal for fuel makes 

good saving in Milwaukee, '473 
Apeseehe. B. Francisco. Maintenance practice 

of the Anglo-Argentina Tramway, •554. 

•978 , ,^ 

Armistead. L. A. Investigating committees should 

utilize electric railway libraries, cl314 
Armstrong, A. H. Why electrification is an 

economic necessity, •373 
Arthur. William. Do power-saving devices 

actually save power? 649 



Dana, Edward. Three-car trains satisfactory in 
Boston, •195 

Dean, John S. Maintaining electric railway 
motors, •793, ^990 

Dodd, S. T. General Electric locomotives for 
C. M. & St. P. R.R., ^509 

Doolittle, F. W. Economies are possible through 
co-operation, 94 

Drexler, N. E.: 

— Home-made armature-bearing press, 'ISQ 

— Reboring motor shells with home-made equip- 
ment, ^429 

Drury, A, G. Using old rails for ties, 163 

Dunham. W. B. Maintenance of way for street 
railways, *103 



Jackson. Walter: 

— Operating London's undergi-ound railways. 

•376 
— The place of the bus, I, •424; II, •esS: 

III, •849; IV, ^1089 
Jacobi, W. O. Automatic substation savings. 

clOlO 



K 



Kealy. Philip J. Future of the electric rail- 
way, 745 

Knowlton, A. E. Washington, D. C. Valuations 
reviewed, 469 

Koehler, C. H. The efficient mlleometer, 639 



B 



Barnhvirst. H. C. Cost of preparing pulverized 
fuel. C1066 

Batchelder, A. F General Electric locomotive 
for C. M. & St. P. R.R.. ^509 

Beeuwkes, A. Notes on the C, M. & St. P. 
electrification. 1103 

Bell. H. P. Remote-control sectionalizing switch. 
•565 

Bellinger, F. W. Electric operation on the B.. 
A. & P., 1101 

Bender. H. C. Results of fare increase in Spo- 
kane, ^433 

Bennett H. K. Practical ideals for the claim 
department, 891 

Bibbins, J. R.: 

— Depreciation — Some lessons from 5 -cent fare 
history, 90 

— Neglected opportunities in electric railway 
transportation, 325 

Bivins, W. T. Substation operation for street 
railway service, 513 

Brinekerhoff, Henry M. Rapid transit for 
Cleveland, •857 

Brockway, Walter B. Reunion of Accountants 
Ass'n. proposed, cl314 

Brown. L. R.: 

— Book of instructions for the track depart- 
ment, c764 

— Solutions of compound curve problems, *160 

Brown. Harry L. Some thoughts from a utility 
leader of the South, ^39 

Buckland, Edward G. The significance of elec- 
trification. ^1187 

Buffe. F. G. Merchandising transportation, 
1251 

Bulpin Thos. W. Use of pneumatic tools in 
track construction, 391 

Butcher. C. A. Applying the automatic substa- 
tion. 6.54 



Caflee. H. L. Solving track problems at St. 

Joseph. •IISS 
Callard. N. H., Jr. The safety car a successful 

merchandiser, ^203 
"Caryall." Let railways do the bussing and 

trucking. 'c63 
Chance. T. A. A. E. R. E. A. standard material 

specifications. Ill 
Chambers, F. C. Automatic substations at Des 

Moines. •738 
Clark. Charles H. Keeping down the high cost 

of work, ^392 
Clark, Harlow C: 
— Fare increases in New York. 33 
— The American Electric Railway Association — 

Its record and possibilities. ^285 
Clark. L. M. Saving electrical energy on the 

car. 647 
Colton. John W. A forward look in public re- 
lations, ^19 
Consulting Engineer. The electric railway must 

not become anti-social, cl269 
CosgTove, R. E. Trolley freight in New England. 

197 
Cram. B. C: 
— Maintenance account No. 12 — Removal of 

snow, ice and sand. •634 
— What makes the rails wear out? ^149 
Culkins, W. C. The municipality's viewpoint 

in electric transportation, •lO 
Curtis. V. S. Co-operation between traction 

company and farmer, ^657 
Cu.-fani. Ferdinando C: 

— Electric railway notes from Italy. 709 
— Is thft nonelectric street railway car a 

serious pos.sibility. 893 
Custer B. J, Some bonding results. 606 



Eddy H. C. The zone plan in New Jersey, *29 

Elliott. CUftord A.: 

— Asphalt paving laid without granite blocks 
alongside rails, ^158 

— Construeticfn and maintenance of grade cross- 
ings on Pacific Electric, '995 

—Pacific Electric opens new shop, ^815 

— Renewing railway crossings arid special work, 
•370 

"Engineer." Single-truck car and double-truck 
track cl066 

Ewing. D. D. Economical use of energy for 
car purposes, 641 



Ferguson, M. S. A heavy-duty interurban snow 
plow, ^338 

"Financier." The investor and the electric rail- 
way. 17 

Fish, Williston. The depreciation reserve fund, 
•239 

Fitzgerald, T. An incentive for good manage- 
ment, 1000 



Greorge, Howard H. : 

— Arc welding of rail joints without planing 

plates, ^1254 
— Handling wet sand from a hopper •SSI 
— Purchasing track spikes under specifications. 

•147 
— Specifications for bolts used in construction, 

•387 
— Tie rod specifications assist in reducing 

failures. 655 
— Why do mechanical joints become loose? 987 
Goodwin. E.. Jr. Energy concentration in elec- 
trical short circuits, ell08 
Gould, L. E.: 

— Energy saving by car meters. c62 
— How meters induce car-energy saving. 644 
Gruhl. Edwin. Essentials of a labor contract. 
9fi 



H 



Hagan. J. S. Distribution problems of inter- 
urban railways, ^603 

Harding. Warren G. The plight of the electric 
railways. •loS 

Harte. Charles Rufus. The engineer and the 
right-of-way, • 1.301 

Harvey. A. E. Beam type track weak in tie 
between rails and short on bearing area 

Heynemann. L, Why take a chance?. c^l370 

Hild. F. W. Justice to both sides in arbitra- 
tion. 93 

Hoffman, E. A. Modern methods of prolonging 
track life, 1258 

Hoover, Herbert. European relief through food 
drafts, c612 

Hulme, J. W. Compressor overhauUng practice 
in Buffalo, ^608 

Hungerf ord. Edward ; • 

— Boston and her trolley cars, ^1032 

— Cleveland's Taylor grant after ten years of 
trial, •1202 

— Philip J, Kealy of Kansas City — and his 
job, •SS 

— The trolley car and the city man, *842 



Linebaugh, J. J. : 

— Holding down load peaks on the St. Paul. 

•759 
— Short circuit protection for direct current sub- 
stations, *515 
Litchfield, Norman : 

— Railway car materials — Steel — I ^803 
— Railway car materials — Steel — II, ^1247 
— Railway car materials — Wood, ^366 
Logan, John W. Bonding and bond testing on 
electrified steam roads, 1191 



M 



McCune, Joseph C: 

— Installing safety car control and air brake 
equipment, ^1240 

— Safety devices of the safety car, *788 

McGraw, James H. Business press and in- 
creased production, 947 

McKelway, G. H.: 

— New porcelain feeder insulator, *1267 

— Using brazed and welded bonds, •796 

— Welding steel poles, 560 

Mandelli, Mavio. American methods in Italy. 
291 

Marsh, T. A. Pulverized coal under boilers. 
e764 

May I. A. Recognize the accounting depart- 
ment, 251 

Megargee, H. B. The library as a business asset. 
1095 

Murray. W. S. What the super-power plan is. 
•435 



N 



Nachod. Carl P.: 

— Infringement of contractor patents. c956 
— Keeping the signals up to the mark 53 
Nash, E. J. Second year of automatic sub- 
station operations at Butte. Mont., 202 
Newhall, D. The safety car from the mechani- 
cal man's point of view, 29 



o 



O'Brien, Dennis. Economy in car painting. •561 
Ogburn. Charlton. The Federal Commission and 
its work, •S 



Palmer L. H.: 

— Handling shipyard traffic at Sparrows Point. 

•930 
— How buses are run in Baltimore. 'IS 
Palmer, R. W. Types of rail bonds. 529 
Pardee. John H.: 

— Conditions of the electric railways, 1297 
— Transport 11,000,000,000 passengers, S97 
Peters, Frank W. : 

— Automatic railwa.v substations, 519 
— Hershey Cuban Railway being electrified, ^757 



Abbreviations: *Illustrated, c Communications. 
READ THE INSTKUCTIONS AT THE BEGINNING OF THE INDEX 



XIV 



INDEX 



[Vol. 55 



Rau, O. M. Pulverized fuel for peak loads, 
1094 

Restofski. Harry. Sig-nalin? the approach of 
cars for connection, *596 

Rice, Ralph H. Characteristics of rail bonds 
523 

Roadifer, Laura M. Safeguarding- against In- 
tangible accident hazards. 12.')6 

Robson. W. Tuke. Impressions of the English 
melting pot, 2.52 

Rossell. W., T.: 

— Standard track spirals, c658 

— Track swings simplified, '643 

Rowland. Ernest W. Which type of bond is 
best, 531 

Ryder, E. M. T. Standard track spirals, c658 



Schleiter, W. F. Comments on track spikes. c300 

Seofleld, E. H. Making the best use of the 
car equipment. *942 

Shepard. F. H. The Milwaukee Electrification, 
1211 

Simmon, Karl A. The bus for special service 
only, •1312 

Smith, M. W. Flashing of 60-cycle rotary con- 
verters, 517 



Smith, Walter H. New Equipment for the 
Philadelphia electrification, •1207 

Sohl, R. C. Seat-cleaning machine used in 
Cleveland, '1267 

"Spectator" : 

— Random notes about the south, 190 

— SideUghts on some fare situations, 471 

Spring, Edward C, Hazards of the electric 
railway field, 1257 

Squier, C. W.: 

— Seated load vs. standing load in car weight 
computation, cl64 

— Transformer action of tapped field railway 
motor, •383 

Stigall, E. E. How purchasing agents can help 
each other, *47 

Storer, N. W. The Westinghouse locomotive 
for C. M. & St. P. R.R. '510 

Storrs, L. S. Looking toward 1920 and be- 
yond. '5 I 

Street, H, S. Rehabilitating an overhauling 
shop, '567 



Thompson, Paul W. Discussion of Mr. Ander- 
son's paper "Pulverized coal for fuel makes 
good saving in Milwaukee." 476 

Tingley, C. L. S. A reasonable rate of return 
on investments, 1096 

Tivadar, Toth. An appeal from Hungary. cll08 

Todd, Robert I, Objections to Union collective 
bargaining, 92 



Townley, Calvert. Carrying capacity of buses 

and cars. c300 
Tripp, Gen. Guy E. Are street railways a real 

public utility, '26 



w 



Walker. E. M. Possibilities of city street car 

operation 692 
Warren, Bentley W, Depreciation, with special 

reference to service-at-cost agreements, 88 
Wensley, R. J.: 
— Automatic substations for heavy city service. / 

•519 
— Automatic substation saving, clOlO 
West, Edward A. Concrete stringer track good 

if many conditions could be met, c714 
Wayman, H. E.: 

— Safety car operation in snow storms. c822 
— The safety car next door to the north pole. 

•699 
Whitlock, W. L. Educating apprentice track 

foremen, 380 
Willcox. Orlando B. Status of public utility 

securities, 937 
Wilson, W. L. Lack of drainage, shrinkage of 

concrete and difficulty of repair are faults 

of concrete beam track c763 
Witt, Peter. Comments on absence of over- 
capitalization, 445 
Wysor. W. W. Is the use of the screw spike 

.justified. 521 



Abbreviations: *Illustrated. c Communications. 
READ THE INSTRUCTIONS AT THE BEGINNING- OF THE INDEX 



PERSONAL INDEX 



(with biographical notes) 



Ernst. N. A. 
Evans, W. H. 



Adams. B. C 

Ahearn, James M. . 
Alton, Howard . . . 
Anderson. George B 
Atohley. E. B. ... 



B 



269 
, 1232 
, 923 
'1035 
•546 



Badger. J. S 1330 

Barnes, J. P •1285 

Beggs, John 1 970. 1179 

Behrens, P. H 834 

Blair, Edward J •834, 835 

Blair Henry A ^315, 359 

Bleecker, John S 834 

Boileau, W. E 358 

Boyee, William H •932 

Bozell, Harold V ^314 

Brown, George N ^223 

Burpee, F. D ^1179 



Carroll, R. G 

Casey, William M. 
Chambers, F. C. . 
Clapp, Harold N. 
Clapper, William 

Colby, A. C 

Coldwell, O. B. . . 
Coleman, Jilson J. . . 

Connette, E. G 

Connette, Thomas W. 
Cooke. Charles B. Jr. 

Crabbs, C, L 

Crooks, C. H 



D 



.1081 

. ^922 

•1081 

•1123 

•1081 

499 

499 

•358 

127 

1025 

416 

128 

781 



E 

Ely. H. T 

Emmet, William Le Roy 



. 971 
•1080 



315 

780 



Daus. Adolph H •835 

Davis. L. J ^ 971 

Day. Charles 1123 

Day, Henry S. 314 

Deibert. George A 179 

Duffy, C. Nesbitt 417 



Faber, Edwin C ^1331 

Pinlay, W. S., Jr •1122 

Fish, Williston '498 

Francisco F. L 970 

Fallon, Bernard, Jr '834 

Frey, Frederick J 416 



G 



Gebhart, Henry 971 

Goldy, Paul R 1123 

Goodsell, C. B 416 

Goodwin, Joseph S 1284 

Gould, E. F 1233 

Gowan, C. R 268 

Grady, James T 129 



H 

Hansen, H. B, 359 

Hardgrave. A ^1231 

Harding, C. Francis ^1284 

Harris, S. G 1025 

Heindle. Wilham A 547 

Hemphill, A. W ^1330 

Henderson. David W •779 

Herring, W. E 499 

-Higgins, Frank G 456 

Hill Robert B ^314 

Hilt, W. V 546 

Hinman, Frank L 1233 

Hitt, Rodney 547 

Hughes. Adrian J,, Jr 1080 

Hunt, Dr. Charles Warren .... 268 
Hutchings, James T 499 



Johnson, Harry A *835 

Johnson, J, Franklin 877 

Johnson, J, M 79 

Johnson. R. C 129 

Jordan. Alfred C 1233 



K 

Kempster. A. L •876 

Khne, W, C , 137 



Knox, F. H. 
Kolb. H. J. . 



. . . . 456 
, .128-129 



Lederer, Charles P 1081 

Lewis. Edwin L ^1025 

Lounsbury, William C *781 



M 

McCauley, Thomas H 876 

McClure, J. Harvey 779, 1123 

McDougall, R. S 269 

McGill, Donald 933 

Maher, Edward A 127 

Maun, Arthur H 876 

Markham, WiUiam C 1024 

May, I. A •675 

Meade, John A ^112,3 

Mender, WiUiam S 138 

Miller, E. W 1081 

Miller, F. H •1385 

Miller. Horace E 780 

Minary. T. J '457 

Mitchell. H. L 546 

Mitchell, James 456 

Montgomery M. T ^369 

Morgan, C. E '417 

Morrow. L. W. W IS.TO 

Mortimer, James D ^731. 1384 

Maynihan, Walter R 456 

Munroe, J. A *417 

Murphine. Thomas F 636 



N 

Neal, W. V 547 

Nelson, J. C *636 

Nicholas, Frederick 315 



Page, Harold 923 

Paul, Lesley C 1331 

Peartree, Edward J 1233 

Phillips, Benjamin 923 

Piper, Col. A. R 128 

Porter, H, Hobart 333, 417 

Potter, R. R *1333 

Pratt. James R *368 

Price, H. W 1384 



R 

Reeves Call H. 1233 

Riddle, S *1285 

Robson, W, Tuke 315 

Ross, David W 269 



Samuel, James W. . 




.. 268 


See, P. V. C . 




..1232 


Shaughnessy. Thomas H. . 


. . 933 


Shaw, O. J 




. . 358 


Shryock, E. O. ... 




. . 1179 


Sigwalt, E. J 




. . 923 


Skelton William a 




. . 547 


Small, Thomas L. . 




. . 314 


Smaw W. H .... 




. , 877 


Smith, F. E 




. .•780 


Smith, G. J 




. . 499 


Smith, William A. 




. . •233 


Snell, A. G 




. . 499 


Stanley, Sir Albert 
Stanley Henry 




127 




. .1284 


Stevenson. Harry C. 




. . 547 


Sullivan. J. V, ... 




. .•730 



Taylor, A. Merritt 416 

Todd, Robert I •626 

Towle, George C 675 

Tulley, Herbert G 730 



Van Namee, George 358 

Van Vranken, F. H ^1025 

w 

Wade, Rex N •835 

Walker, William W 1331 

Waterson, W. W 780 

Weatherwax, W. M 315 

Weeks, H. E ^1179 

Welty, F. S 780 

Wilhams, T. S. 79 

Woods, Robert P *970 

Wood, W. E 922 



Yungbluth; B. J. 



269 



(•Indicates Portrait) 



Consolidation of Street Raijjvay Journal and Electric Railway Review 

3 



Volume 55 



New Yq^, Safurday, January 3, 1920 



Number 1 



-Jl 



^- 



i- 



More Cars Ordered but Less 
Track Built than Last Year 

WE HAVE made a special effort this year, in our 
statistical tables, to expand the comparisons with 
the data for former years. In consequence, several new 
tables are included which should prove of value. The 
statistics of rolling stock purchased or built in company 
shops during 1919 show a considerable increase over the 
number reported during 1918, particularly in one-man 
cars, of which more than double the number were 
purchased in 1919 than during the previous year. In 
fact, approximately 75 per cent of all motor passenger 
cars ordered for city service in the United States, ex- 
clusive of those for use in subways or on elevated rail- 
ways, were of the one-man safety type. The number 
of trailers ordered, while less than in 1918, accounted 
for approximately 25 per cent of all of the two-man 
passenger cars. The home-made ears, although less in 
number than during 1917, were nearly twice those of 
1918, indicating easier conditions in the way of secur- 
ing material and labor. 

The car statistics show that the companies are put- 
ting forth every effort to carry the traffic presented for 
transportation and to carry it as economically as pos- 
sible by a growing number of one-man cars. Similarly, 
the track statistics afford clear proof that the credit of 
the companies, or at least their incentive, for making 
extensions to their existing systems, has practically 
gone. The record of new track built is the lowest re- 
corded since we commenced the compilation of figures 
on this subject in 1908. It is only half of that last year, 
and if the 344 miles of rapid transit extensions in New 
York City are excluded, the longest line built was 5.38 
miles, and this was by the Seattle municipal line. There 
"were only three other extensions in the country of more 
than 4 miles. As the tabulation includes turnouts, 
sidings and connections, these figures mean that exten- 
sions have practically stopped. 



Evolution Still at Work 
in Franchise Making 

TIME shows the wisdom or the folly of man's plans. 
As the years go by this is illustrated in the working 
out of the modem type of franchise for electric rail- 
ways. Each new settlement between the public and the 
investors has been arrived at after long periods of 
thoughtful research and discussion, yet a short experi- 
ence was generally sufficient to reveal defects not evi- 
dent before. The very latest attempt at franchise 
drafting — the one just rejected by the people of Min- 
neapolis — had many features to commend it, but the 
plan will have no opportunity to show whether it, after 
all, would not have developed some weakness in spite 
of the care put upon it. 

In our Statistical Issue last year an expert discussion 



of service-at-cost plans which had been adopted or con- 
sidered up to that time was presented by L. R. Nash 
of Stone & Webster. In the present number of the 
Journal franchise developments of the past year are 
reviewed, thus bringing up to date the summary of 
modern franchise experience. 

Basis for improvement is still evident in franchise 
planning after all these years of experimentation. One 
city will guard against Judge Tayler's error in estab- 
lishing a too limited schedule of variable fares for 
Cleveland. Another will avoid a second deficiency of the 
same grant — namely the fixing of a definite return on 
investment which may prove inadequate. Still another 
will place better safeguards around the company's in- 
vestment at the end of the ordinance term. Taken all 
in all, however, the perfect franchise has not arrived. 
Indeed it may be true that if a model franchise were 
adopted to-day, keeping clear of all known defects of 
existing grants, it would still fail of its purpose under 
the unforeseen conditions of the future. 

Special attention has been directed lately to provi- 
sion for maintenance, renewal and depreciation allow- 
ances in ordinances of this character. This subject is 
set for discussion at the coming mid-year meeting. 
During recent years of financial trial the general prac- 
tice of meeting such expenses from current revenues, 
without setting up an adequate fund to insure replace- 
ments in the future, has been recognized as economic- 
ally unsound. While it may be impossible to fix a uni- 
form standard, based on a certain percentage of gross 
receipts, for these funds, the industry would profit by 
studying results in such places as Chicago, where this 
idea has been carried out since 1907. 

Too much consideration cannot be given to the ques- 
tion of rate of return. To restore the confidence of 
capital it is necessary that the experience under certain 
ordinances be avoided. Better results are promised 
under such grants as those for Youngstovpn and Cin- 
cinnati, Money has its price the same as labor and ma- 
terials, and if the electric railways are to continue at- 
tracting investors they must offer an inducement com- 
paring favorably with that of competitive bidders. To 
do this it will be essential at all times to offer a return 
equal to existing prices for money and to give some in- 
centive to efficiency and economy of operation. 

The most recent franchises have provided more sen- 
sibly for regulation of rates of fare, the all important 
feature of any ordinance. A service-at-cost grant is 
bound to fall short of its purpose if it does not establish 
a sufficiently elastic schedule of rates. It will also fail 
to protect the investor if changes in rates cannot be 
made promptly to meet emergencies. In this instance, 
the Youngstown ordinance would appear to have an ad- 
vantage over its predecessors, while the Boston Elevated 
Act has been found too rigid. 

The Youngstown measure presents another important 



Electric Railway Journal 



Vol. 55, No. 1 



safeguard in the provision for taking- care of investment 
at the end of the grant. Certain companies whose ordi- 
nances have not many years to run are facing serious 
embarrassment through lack of protection in this par- 
ticular, and the industry would do well to study how 
the problems of financial readjustment can be solved 
when the day of reckoning comes. 

Public authorities apparently have failed, except in a 
few instances, to recognize the injustice of burdening 
the cost of transportation with such charges as those 
for paving, cleaning and sprinkling of streets. Until 
the car rider is assured that the fare which he pays is 
devoted entirely to expenses connected with his trans- 
portation, he will have cause for complaint against in- 
creases in rates. Unbiased students of electric railway 
problems have reported time and again in favor of re- 
moving such charges, but the prejudice against such 
action has yet to be overcome. 

Service-at-cost settlements are, in theory at least, es- 
sentially fair. They should meet with universal sup- 
port on the part of the public, the employee and the in- 
vestor, but this millenium will not be reached until it 
is recognized that under the franchise in question the 
car rider pays for what he gets and gets only what he 
pays for. 



Progress of the Zone 

System During 1919 

THE year 1919 was noteworthy in the history of 
zone fares in the United States. It witnessed the 
most ambitious experiments thus far undertaken, in- 
volving the greater portion of the electric railway lines 
in two states, Connecticut and New Jersey, and the 
results secured in the two cases were widely dissimilar. 
The zone system of the Public Service Railway in New 
Jersey was introduced on Sept. 14 and abandoned by 
permission of the Board of Public Utility Commissioners 
on Dec. 7. The Connecticut Company inaugurated a 
zone system of fares on Nov. 2, which is still in force. 

The zone experiments in New Jersey met with a large 
measure of public opposition, leading to an active and 
widespread boycott of the cars on the so-called Southern 
Division, comprising the lines in and around Camden. 
In consequence the revenues of the company were much 
less than had been anticipated by the commission, and 
they were insufficient to enable the property to earn 
its fixed charges. The abandonment of the system was 
requested by the company and acquiesced in by the 
commission in order to avoid serious financial conse- 
quences. 

On the other hand, the zone system of The Connecticut 
Company has been accepted in good part by the public, 
which has shown a willingness to co-operate in making 
the new system an operating success. The new system 
of fares has produced a most gratifying increase in 
operating revenue, that for November being at an 
annual rate of $1,500,000, or 17 per cent, over the 
receipts from a 6-cent fare. 

Electric railway operators can study with profit the 
widely varying experiences of these two companies. 
There has never been a more impressive demonstration 
of the importance which the public attitude plays in 
the success of any movement. In general outline the 
zone systems of these two companies were practically 
identical. Both were based upon traffic studies made by 
Dr. Thomas Conway, Jr., of the University of Penn- 
sylvania. The traffic data collected were substantially 



the same in both cases, and it is presumed that the 
methods used in estimating revenues were very similar. 
In general the operating methods originally employed 
in New Jersey were adopted with slight modifications 
in Connecticut. As the zone system in Connecticut is 
said to be producing almost exactly the revenue which 
was predicted, it seems clear that the failure of the 
zone system in New Jersey must be due to certain 
conditions and causes peculiar to the local situation 
and that this failure should in no wise deter other com- 
panies from seriously considering the zone system, 
particularly if the lessons to be drawn from the New 
Jersey experiment are taken to heart. In an article 
in this issue the New Jersey situation is summarized 
by a member of the staff of the commission, and the 
results of an inspection by this same authority of The 
Connecticut Company system were given in an article 
in the Dec. 27 issue. In view of the publication of 
these articles, it will not be necessary to refer to 
them in detail, particularly as an analysis of the situa- 
tion in New Jersey was published in an editorial in the 
Oct. 18, 1919, issue, and one of that in Connecticut in 
the issues for Oct. 11 and Nov. 1 of this paper. 

It would be difficult to find a more conclusive demon- 
stration of the great value of freedom of initiative on 
the part of the utility in instituting changes in rates 
than is reported by a study of the comparative results 
in New Jersey and Connecticut. The wisdom of the 
provision of the public utilities statute of Connecticut, 
similar in nature to the provisions of the law in Penn- 
sylvania and Maryland, allowing the company to initiate 
a new rate upon its own motion without power of sus- 
pension by the commission (but adequately safeguard- 
ing the rights of the public through the power of 
subsequent review and determination by the commis- 
sion), again has been impressively shovsm. 

The future of fares in New Jersey at this time is 
uncertain. The New Jersey commission is now com- 
pleting a valuation of the railway property, i)ending 
which the 7-cent fare with 1 cent for a transfer has 
been restored. This rate will probably not yield a fair 
return upon the value of the property, and the solution 
which will be worked out eventually to insure a reason- 
able return, essential to the railway's ability to secure 
capital to meet the requirements of the people of the 
State, is one of the unsettled problems carried over 
into 1920. 

While the New Jersey and Connecticut zone plans 
naturally attracted most of the attention during the 
past year, the zone systems heretofore existing in 
Springfield and Holyoke, Mass., on the suburban lines 
of the Milwaukee Electric Railway & Light Company, 
on the Rhode Island Company's property, and in Port- 
land, Maine, continued in operation throughout 1919. 
Certain changes in zone rates were made in the effort 
to offset rising cost, involving in these cities an increase 
in the initial rate of fare. 

While it is too early to appraise the progress which 
the zone system has made in America during 1919, 
yet it seems clear, on the whole, that the year marks 
a distinct advance in the application of this principle 
to American electric railways. The economic prob- 
lems which have turned the minds of electric railway 
operators to the zone system still remain. Few prop- 
erties are able to earn a fair return upon their faiir 
value. The problem of an adequate rate remains un- 
solved on most of the electric railways of the country. 
The New Jersey and Connecticut experiments have 



January 3, 1920 



Electric Railway Journal 



3 



demonstrated the practicability of the zone system in 
urban communities, although the urgent need for 
better fare collection apparatus for zone system opera- 
tion is clearly apparent. There is no doubt that the 
continued use of the zone system will stimulate manu- 
facturers to produce devices for the more speedy collec- 
tion and registration of the zone fares. 



What Was Accomplished Along 
Engineering Lines Last Year? 

IN REVIEWING the electric railway engineering 
problems that have been actively discussed during the 
past year, it is reassuring to find that splendid work is 
being done to bring about much needed economies. In 
all of the departments into which we commonly divide 
such activities, the one outstanding feature is the desire 
to increase efficiency and so to effect substantial savings. 
A few examples will be cited to indicate' the lines along 
which progress is being made. 

At the Atlantic City convention the power generation 
committee of the American Electric Railway Engineer- 
ing Association presented a notable report on the auto- 
matic substation and a form of power contract for elec- 
tric railways, relating respectively to economical use and 
purchase of power. The extent to which the industry is 
dependent upon labor has been forcibly brought home 
in a number of instances and an extension of the use of 
automatic substations has helped to relieve this condi- 
tion and at the same time has shown results in reducing 
costs that are a real encouragement in these times. 
The trials and troubles experienced with automatic 
apparatus have not been many and progress in over- 
coming them has been rapid. Another economy in 
power generation that has been referred to frequently 
is the use of special fuels for power plants. In the 
recent assignment of subjects to the Engineering Asso- 
ciation committees this one has been included. If fuels 
cheaper than coal can be utilized a great boon will be 
conferred thereby on those responsible for supplying 
power to electric railways. 

The tendency of those actively connected with power 
distribution has been toward the development of stand- 
ards for transmission and contact systems. Specifica- 
tions for overhead line material, wires and cables have 
been revised and the requirements for crossings of 
power lines with railroads have received increased atten- 
tion. The value of a careful study of the losses con- 
nected with power distribution has been made apparent 
by the greater effort, toward maximum use of existing 
equipment. Rapid advances in the cost of labor during 
the year have also brought labor-saving devices into 
special prominence. Engineers of way have collected 
convincing data on the savings which have resulted 
from the use of various tjrpes of tools. All are thor- 
oughly alive to the necessity of utilizing labor-saving 
devices to the limit in order to keep maintenance costs 
within reason. 

In rolling-stock construction and operation, the light- 
weight safety car has come into general use. Not only 
has it proved economical to operate, but increase in 
riding has been secured on many properties by the use 
of more frequent headway and quicker service. The 
limitation of car design for two-man operation to a few 
standard sizes has equally great possibilities in regard 
to weight reduction and improvement in construction. 
In car details the advent of helical gearing for railway 



motors is an innovation that should reduce car main- 
tenance cost by eliminating those shocks and vibrations 
which originate in the equipment itself. 

Finally, in the repair shops, the necessity for increased 
facilities to carry on the maintenance of equipment 
economically has been given increased consideration by 
equipment engineers. They realize as never before that 
favorable conditions for inspection and convenient track 
layouts for the shifting of cars will produce far-reaching 
results. 

Looking at their work as a whole our conviction is 
that the engineers have contributed no small share to 
the improvement in operating conditions on electric 
railways which was manifest during the past year. 



Is Maintenance Practice 

Keeping Up to the Scratch? 

DURING the past year much has been said and 
printed concerning maintenance practice in all 
departments of electric railways. The subject was espe- 
cially popular for dissertation and discussion at conven- 
tions. This leads one naturally to inquire as to whether 
maintenance conditions and methods have really shown 
marked improvement during, say, the past twelve 
months. Our observation leads us to conclude that they 
have done so. 

To look backward a bit we must remember that even 
preceding the war net operating revenues had in many 
cases declined to such an extent that maintenance of 
equipment, track and lines had fallen behind. During 
the war, the combination of high prices, lack of money, 
and scarcity of materials and labor forced all but abso- 
lutely essential maintenance in aU of the departments 
to be deferred indefinitely. Since the armistice was 
signed there has been some decrease in prices, notably in 
copper, while other commodities have maintained their 
previous level or, in some cases, prices have further 
increased. But in many places higher fares have been 
allowed and this has resulted in larger appropriations 
for maintenance. Materials have certainly been more 
plentiful, and as for labor, the higher wages and the 
release of men from military service have resulted in a 
change from the condition of trying to find men for the 
jobs to that of placing those who have returned to their 
former places of employment. 

Thus the natural tendency has been to begin catch- 
ing up on deferred maintenance, which in many cases 
had reached a critical point. As a result more neces- 
sary maintenance work has been done during the past 
year than has been performed for several years pre- 
ceding, although as a rule equipment, track and line 
have not yet been brought back to a normal standard of 
maintenance. It is safe to say, however, that on most 
properties the maintenance program is now on a normal 
basis or better. 

The effect of fare increases upon maintenance has 
been marked. It is to be hoped that the public realize 
that maintenance work is being given preference over 
dividends and interest, and that improved operating con-' 
ditions have almost invariably followed an increase iu 
revenue. Some properties that are seeking or expect- 
ing increases in fares have allotted larger amounts; 
to maintenance in the conviction that business follows-- 
service. 

In maintenance practice increased stress is being put 
upon a systematic, intelligent inspection. This is true 



4 



JiJLECTRic Railway Journal 



Vol. 55, No. 1 



in all departments, but particularly in the shop. We 
may revamp the old adage, "a stitch in time saves nine" 
by saying that a dollar spent for intelligent inspection 
will save many which would otherwise be spent for serv- 
ice delays, total replacement and accident claims. 

The methods by which maintenance work is actually 
accomplished show a steady improvement. Probably the 
most important single development has been in the use 
of gas and electric welding and cutting. This method 
of reclaiming worn and broken parts or making new 
ones, both in the track and shop departments, has 
already come to be recognized as a necessity. The scrap 
pile has been very largely reduced, and great savings 
have undoubtedly been made. In some cases enthusiasm 
has probably gone too far in this work, and parts have 
been repaired that could have been purchased new at a 
saving. The point of profitable reclamation must be 
clearly determined. This accomplished welding will 
produce marvelous results. The importance of the 
subject of welding can be realized by considering the 
fact that a national engineering society is devoting 
its entire energies to this specialized branch and it 
seems to find enough to do to keep itself busy. Its 
activities ought to be helpful to electric railway main- 
tenance men. While the society started under the 
exigencies of war it can play a useful part in peace- 
time maintenance. 

To sum up the situation as we see it, better main- 
tenance is largely dependent upon sufl^icient revenue, for 
costs are not going to be greatly reduced soon. If pres- 
ent fare increases can be maintained and other neces- 
sary ones can be secured, the close of 1920 will see main- 
tenance in all departments at a higher standard than 
ever before. 



Retrospect and Prospect — 

Large Traffic Gains in South 

A PROMINENT railway manager, in commenting on 
the difficulties of the electric railways a year or 
two ago, said that they were suffering from no trouble 
which more money could not cure. The truth of this 
remark has been demonstrated during the past year. 
Where permission has been obtained by a railway to 
anake reasonable advances in rates to accord with the 
;advances in the costs of materials and labor, the con- 
dition seems bright. Where the rate advances , have 
ibeen refused or have been inadequate, the opposite con- 
dition prevails. 

By and large, the situation as a whole is better than 
in January, 1919, for several reasons. In the first place 
there is no doubt a wider popular recognition of the 
direct relation between rate of fare and cost of service 
and a greater disposition on the part of the authorities 
to sanction necessary adjustments in fares. In the 
second place, patronage, especially on the city properties, 
is growing, often in spite of increased, fatres, and 
although the prices of labor and materials remains high 
it is easier to obtain both. 

The most important event of the past year, from 
an electric railway standpoint, was the hearings con- 
ducted at Washington by the Federal Electric Railways 
Commission. The report and recommendations of this 
commission have not yet been made, but considerable 
benefit from its appointment is already apparent. It 
has come from the testimony presented which has helped 
to educate the public to an understanding of the true 
<;ondition of the industry, to a realization of its essen- 



tial character and to the injustice of an infiexible sell- 
ing price for a commodity whose cost of manufacture 
varies with market conditions. 

In some respects conditions in the South are better 
than those prevailing in other parts of the United States. 
As is well known, the section of the country south of 
Mason and Dixon's line is enjoying an unprecedented 
wave of prosperity. War activities and, more recently, 
the soaring prices of cotton and tobacco, and the exten- 
sive expansion of the oil fields, are responsible, in the 
main, for this fortunate business condition. Merchan- 
dise is moving with a wonderful rate of turnover. 
Homes are unavailable, hotels are full to overflowing 
all the time, and railroads are carrying record loads 
continually. Building projects and all forms of indus- 
try are being pushed to meet the great demand. 

These conditions are of course directly reflected in 
the number of . passengers carried by the interurbans 
and street railways, for what one agency is more vitally 
intermeshed with all local activity and industry than 
the transportation system? Consequently, aside from 
isolated cases, the electric railways of the South are in 
better condition generally than those in other parts of 
the country. Those companies which have been able to 
avert receiverships up to the present are now enjoy- 
ing, almost without exception, such a good increase in 
traffic over last year that the higher operating ex- 
penses are being absorbed without difficulty. While 
many of them are still operating on a 5-cent fare, prac- 
tically none is now in danger of insolvency, so long as 
present conditions continue. A few claim to be getting 
a return from the 5-cent fare adequate to meet oper- 
ating expenses and all fixed charges and pay dividends 
on common stock. It is notable that these few are the 
companies which have been most alert to new economies 
and improvements in service, particularly the one-man 
safety car. 

But the great majority of the companies of the South, 
while having almost more traffic than they can handle, 
are in need of an increase in the rate of fare. The 
5-cent fare under particularly favorable business con- 
ditions is serving to keep heads above water, but is not 
producing a revenue which will provide a reasonable 
return on the value of the property in addition to proper 
allowances for maintenance and depreciation, and not 
sufficient, therefore, to attract new capital into the 
business. 

Many of the Southern companies have been hesitant 
and perhaps backward about petitioning for increased 
fares, feeling that it was better -not to start a con- 
troversy as long as the present rate of fare, coupled with 
excellent traffic, was providing enough to keep the com- 
pany solvent, even though not enough to make possible 
any new financing. In such cases, new equipment has to 
be paid for out of operating earnings, and quite a little 
work of this kind is being done, pending the adoption of 
a permanent settlement of the situation which will per- 
mit the issue and sale of securities. Among those rail- 
way men who have been in close touch with the people 
of the South there is a belief that the attitude of the 
people toward the railways is undergoing a favorable 
change and that there is more and more evident a dis- 
position to treat fairly their petitions. In the light of 
this knowledge, it appears that the year 1920 will bring 
a great many fare increases in Southern cities, and, hav- 
ing these, there will follow splendid progress and a 
sound financial condition. 



January 3, 1920 



Electric Railway Journal 



5 



Is a Spirit of Optimism 
Justified at This Time? 

ON THE SURFACE, and quite a liltle way below 
the surface, operating and financing conditions in 
the electric field are discouraging. The near-sighted 
individual who visualizes only 1919 or 1920 is certainly 
warranted in feeling a trifle blue. But how about the 
far-sighted man who thinks in decades rather than 
years, who considers improvement in service more im- 
portant than immediate gain, whose brain is fertile in 
expedients for developing new business to take the 
place of that which is lost to competitors and for cut- 
ting down the unit cost of giving this service? Is he 
justified in looking forward to the future of electric 
transportation (supplemented by such other means as 
inventive talent may produce) with zest and hope? We 
believe he is. It's up to us to say why. 

The present condition of the industry is due almost 
entirely to inability to adjust the price of our product 
to its cost. This in turn is due to several unfortunate 
conditions, largely outside of the control of the man- 
agers of the electric railways. First, there is the 
rapidity of the increases in costs of labor and mate- 
rials. 

These costs tend practically always to rise, but 
under normal conditions it would have been more nearly 
possible to secure corresponding increases in rates and 
in operating efficiency. Next is the reluctance of pa- 
trons to permit higher prices to be charged when they 



exercise statutory control over the situation. There are 
many prices which they cannot readily control and they 
are apt to hold the controllable prices down, to offset 
the increases in the others. A third item is the effect 
of politics; it is obviously in the line of self-interest 
for the demogog to ingratiate himself with his con- 
stituency by playing public utility against public. 

Of course we can see now some things that might 
have been done to offset rising costs. We realize at 
the same time the handicap of prescribed fares and 
largely prescribed service. 

But enough of this dark side of the picture! The 
dawn of the day of higher fares and better feeling on 
the part of the public appears. Fertile brains are 
devising new means of giving improved service with- 
out increased cost, and of selling more transportation 
to the public by merchandizing methods. The public 
is beginning to realize its dependance upon the electric 
railway. It is well to note these hopeful signs and to 
recognize them as harbingers of that better status for 
the railway business toward which we are all earnestly 
striving. The present situation is well summed up in 
the accompanying "foreword" by Lucius S. Storrs. 
This the editors asked him to prepare because of his 
recent experience on the Electric Railway War Board, as 
chairman of the sub-committee on publicity of the Com- 
mittee of One Hundred and as president of a company 
which has just put over a resultful publicity campaign 
for increased fares. His comment, may, therefore, be 
considered the conclusion of this article. 



Looking Toward 1920— and 

Beyond 



THESE are times when the electric 
railway industry should put be- 
hind it the gloom of the past and look forward 
with anticipation toward the better times that seem 
to be at hand. 

The period of the war brought 
many troubles to the electric rail- 
ways, but the industry is emerg- 
ing from them, and the future is 
brighter. 

If our recent experiences have 
impressed any one fact upon our 
minds more deeply than others, it 
is the necessity of educating our 
own employees as to our condi- 
tion and the need for them to co- 
operate in bringing about im- 
provement. There is also a need 
for electric railway companies to 
put their stories fairly and square- 
ly before the people. 

The testimony presented by 
v/itnesses who appeared before 
the Federal Electric Railways 
Commission has had wide publicity, and all of us 
must appreciate what a marked effect this public- 
ity has had on the public mind. I believe it has 
been very helpful in putting the case of the indus- 
try fairly before the people. 

Too much emphasis can hardly be put upon the 
suggestion that the work begun by the Committee 
of One Hundred must be continued. Merely to tell 




L. S. Stores 



our story is not enough — it must be 
told over and over again with what- 
ever modifications the future may bring and with 
due allowance for the varying conditions in differ- 
ent localities. 

More important than anything 
else, it seems to me, is the main- 
tenance of an optimistic state of 
mind. The industry has gone 
through a critical period, and that 
we have stood the test so well is 
cause for congratulation. Before 
us is the task of making up the 
losses of the trying times from 
which we are emerging and the 
restoration of the industry on a 
sound basis. There is nothing 
about the situation to cause pes- 
simism. Opportunities for earnest, 
efficient and able service were 
never so great as they are todaj\ 
and that there will be an adequate 

reward to the men in;the industry 

and the public which has invested 
its money in the electric rail way s_^ seems certain. 
We must all co-operate. We^must continually 
strive for the intelligent co-operation of the em- 
ployees and, most important of all, we must leave 
nothing undone to win the good^will of the public. 




Electric Railway Journal 



Vol. 55, No. 1 



Railroad Electrification In, 
Before and After 1919 

STATISTICS as to new construction and rolling stock 
for heavy electric traction for 1919 relate lar^ly 
to the Cascade electrification by the Chicago, Milwaukee 
& St. Paul Railroad. Although full electric operation 
has not j'^et begun on this section, delivery of the new 
electric locomotives for this division is under way. 
Five passenger locomotives, which were built by the 
General Electric Company, will shortly be in operation, 
as will also ten Westinghouse passenger locomotives 
for the Rocky Mountain division. The former loco- 
motive was described in the issues of this paper for 
March 23, 1918, and Oct. 18, 1919; and the latter in 
the issue for March 23, 1918. The present issue con- 
tains another article on the Rocky Mountain passenger 
locomotive. 

It is always interesting to note what the New York 
Railroad Club talks about on its "annual electrical 
night" because this is designed, among other things, 
to epitomize the electric traction progress of the year. 
At the 1919 meeting E. B. Katte, to whom was delegated 
this particular task, said that when he began to prepare 
his paper he thought that there had been very little 
progress made since the previous meeting, but as he 
reviewed the situation carefully he found that the year 
had been far from an "off" one. As evidence of this 
he directed attention to the new St. Paul, Pennsylvania 
and New Haven locomotives which show substantial 
progress. 

The Rocky Mountain electrification of the St. Paul 
very forcibly impressed a commission of thirteen French 
engineers who came to this country last spring to study 
heavy traction with a view to finding, if possible, a 
superior method for general application in their own 
country. This commission had a definite task before it, 
because the general electrification of railroads in France 
is much more imminent than here due to the high price 
and scarcity of fuel. The commission returned home 
about the end of July, apparently convinced that the 
high-voltage direct-current system possessed advantages 
over others for their purposes. The ultimate results of 
its observations will undoubtedly be a modification of 
the tendency on the part of many French engineers 
to favor alternating current. 

On the other hand, in the United States railroad 
men are not by any means unanimous as to one or 
another of the systems of electrification now available. 
On the Norfolk & Western Railway the single-phase 
three-phase locomotives are doing yeoman service. The 
work imposed upon them there is terrific, but they are 
getting away with it. The maintenance cost per 
locomotive-mile is high, as would be expected under the 
circumstances, but the cost per ton-mile is reasonable. 
This fact must be kept in mind when comparing main- 
tenance costs with the remarkable records on the 
locomotive-mile basis which are being made elsewhere. 
The Pennsylvania Railroad showed at the Atlantic City 
convention of the mechanical section of the American 
Railroad Association the great single-phase three-phase 
locomotive which it had developed for use on its 
Allegheny Mountain division. This locomotive has been 
in freight service in the Philadelphia-Paoli electric 
zone, where it has given an excellent account of itself. 
One important reason why this type of locomotive is 
favored is that it gives a great haulage capacity in a 
given amount of space. In view of the interest that 



the Pennsylvania engineers are taking in this type of 
locomotive, it is certainly still "on the map." And the 
single-phase system, with series compensated motors, 
is still being heard from. The New York Connecting 
Railroad, which operates over Hell Gate Bridge between 
sections of New York City, has put into commission 
a number of new locomotives of this type, having a 
weight of 180 tons and a motor capacity of 2,000 hp. 
on a one-hour rating. 

As the St. Paul situation occupies the limelight for 
the moment, a few facts regarding it are in order. 
This road made a notable addition to its electrified 
track in 1919 by equipping 207 miles of main line 
and 73 miles in side tracks and yards between Othello, 
and Seattle and Tacoma, Wash. The passenger motive 
power of this section will consist of the five G. E. loco- 
motives, which are of the gearless type equipped for 
regenerative control. These are 76 ft. long and weigh 
265 tons. The freight locomotives will be transferred 
from the Rocky Mountain division, the geared locomo- 
tives now used there in passenger service being regeared 
for the purpose. A few freight locomotives are already 
in use and the passenger locomotives will be operating 
in a few weeks. Power for the new electrification will 
be purchased from the Washington Water Power 
Company. 

The locomotives removed from passenger service on 
the Rocky Mountain division are to be replaced by 
the ten new Westinghouse geared machines. These are 
also provided with regenerative control. The railroad 
will therefore have available for comparison in per- 
formance two types of locomotives, radically different 
in design and appearance but meeting approximately 
the same service specifications. The conspicuous dif- 
ferences are in type of motor, method of drive, scheme 
for excitation of main motors during regeneration, 
arrangement of control equipment, cab design, etc. 
Other interesting features of this installation are in 
the distribution system, which is being equipped with 
a device for protecting the motor-generators in the 
substations from the effect of excessive overload, by 
automatic reduction of voltage. The substations are 
to be provided also with apparatus for safeguarding 
the motor-generator sets from the effect of short- 
circuits, for permitting the power conditions to be 
closely supervised, etc. 

The completion of the electrifications in Montana 
and Washington leaves a steam-operated section iso- 
lated, and undoubtedly this will be electrified in due 
course for general operating economy, if for no other 
reason. From what has been said it is obvious that the 
St. Paul road is entitled to much appreciation from 
the steam railroad fraternity generally for pioneering 
on so large a scale. As to the future in heavy electric 
traction, there is a general feeling that important 
developments are pending. Several projects are ripe 
for electrification, but the uncertainty as to the way 
in which steam railroads are to be organized and 
administered produces a check on definite planning. 
The coal situation, however, is so critical that con- 
siderations formerly given as favoring electrification 
are now greatly magnified. The success of the present 
electrifications is also in favor of further application. 
In Europe we see the results of natural tendencies in 
this direction greatly accelerated by the war. The 
activity in railroad electrification now manifest there 
must be reflected on this side of the water in due 
time. And the time would seem to be soon. 



January 3, 1920 



Electric Railway Journal 



Deliveries to Be Important 
Market Issue During 1920 

GENERALLY speaking, electric railway manufac- 
turers are of two classes, those devoted entirely or 
in large part to the production of electric railway sup- 
plies and equipment and those manufacturing a line 
finding application in more than one field, including the 
electric railway. 

The former class of manufacturers, as a rule, frankly 
had a rather unprofitable year. Some of these have had 
to engage in side lines to "keep the wolf from the door" 
until the electric railways shall again get on their feet. 
Those in the latter group have not felt our enfeebled 
condition so keenly because they have been able to 
concentrate on fields more fruitful in orders. 

However, the past is a tale soon to be forgotten. Of 
real importance just now is the future. Will there be 
more business? We believe that there will be, par- 
ticularly in the way of light-weight cars, which have 
shown such an increase in popularity during the past 
year, and in those devices which are designed primarily 
to reduce the cost of operation and are required in 
maintenance, in distinction from those used in new con- 
struction. 

In this connection we have a word to say to the man 
who purchases materials. Prices may go slightly higher 
during the year, but not very much. Rails and sheets 
will probably command a premium for early delivery. 
Wire should be lower before it is higher. We can't tell 
anything about poles and ties just yet, except to say 
that there is little likelihood of any drop during 1920. 
Motors if they change at all will be higher in spite of 
lower copper costs. The same is true of transformers 
and substation equipment. 

However, the most important factor in the market 
during the entire year is not going to be prices, but 
deliveries. Electric railways will feel this very keenly 
because they have to compete with the steam roads for 
so much of their material. The President has stated 
that the steam roads are to be returned to private oper- 
ation in two months. 

Within two months, then, the rail rolling mills of the 
United States, unless Washington changes its mind, will 
be booked up for their entire 1920 output and a good 
part of the 1921 capacity also. 

The sheet mills and the girder mills will in all prob- 
ability be in worse condition for deliveries, owing to 
the building and industrial demand. 

In addition transportation facilities are so short that 
delays along the road are going to pile up, resulting in 
further delaying shipments. 

The delivery situation during 1920 in the electric 
railway field, as things look now, will be worse than 
during 1917 and 1918. This is not said to frighten. 
These are the plain, cold facts. 

If roads have any idea of buying rails, or plates, or 
wheels, or axles, or motors, or transformers, or line 
material, we believe therefore that they should order 



now. If later they do not need the material it will prob- 
ably be a simple matter to cancel the order. In fact, in 
most cases, we think that the manufacturer will be 
highly pleased. 



Value of Association Measured 
by Capacity of Individual 

SOME purchasing agents are assuming a skeptical 
attitude as to the value to them of the organization 
which the purchasing agents formed at the October 
convention. They are wondering what good will be de- 
rived from such an association and whether they should 
take membership. According to some of them, it doesn't 
help to tell each other what prices are secured on various 
materials, as so much depends upon conditions of com- 
petition, quantity, delivery requirements, etc. 

This contention is quite true. At the end of the year 
there will not be any such accomplishment to record to 
the credit of the Purchasing Agents' and Storekeepers' 
Association as the lowering of the price of steel, say, 2 
cents a pound or of coal 20 cents a ton. The purpose 
of the association, as we understand it, is not to reduce 
prices or even primarily to discuss them. Instead, the 
real value of such an association, as is pointed out in an 
article by Mr. Stigall in this issue, comes from the 
interchange of ideas and experiences and the promulga- 
tion of new thoughts on making the purchasing depart- 
ment iof greater service to other departments, for 
primarily the purchasing department is a service de- 
partment. We believe it to be almost impossible for 
twenty-five live men in the same line of business to get 
together talking shop without there being expressed 
ideas of helpfulness to almost all present. Sometimes the 
value of a suggestion may not be apparent right then, 
but later it will be recalled that such an opinion was 
heard and the worth of it will "come home" with its 
application to the local problem. 

This then leads to the conviction that the good to be 
derived from an association of purchasing agents and 
storekeepers depends on what the individual puts into 
it and on his capacity to comprehend and absorb new 
thoughts. In other words, as one progressive Mid-West 
P. A. put it, "you can't pour a barrel of water into a 
pail." The purchasing department representative who 
can derive no benefit from attendance at such associa- 
tion meetings should place the blame for this upon him- 
self and not upon the association; and if he cannot get 
back in helpful thoughts several times the value of his 
expense account for making the trip to the meeting, 
then he needs to make way for a successor who has 
vision and initiative enough to move along with the 
art. 

The thing to do is for each purchasing agent and 
storekeeper of an electric railway property to get behind 
this constructive effort of the newly organized associa- 
tion, thereby strengthening it by what he gives and 
by the larger good which he will derive from it. 



The Irving National Bank, in a circular issued on Jan. 1, sums up the economic 
situation as follows: "Out of a year of difficult readjustments to the tasks of 
peace has come the conviction that national aims must more surely serve all 
interests alike — that the measure of a country's greatness lies in its contribution 
to the welfare of its own people and the well-being of the world — and that the 
important instrument of this contribution is, not governments, but business." 



Electric Railway Journal 



Vol. 55, No. 1 



The Federal Commission and Its Work 

By Charlton Ogburn 

Executive Secretary Federal Electric Railways Commission 



An Account of How the Report of 
the Federal Commission Is Be- 
ing Drafted for Presenta- 
tion to the President 

THE outstanding feature of the 
work of the Federal Electric Rail- 
ways Commission, to my mind, is 
the fine public spirit it has elicited. 

Here was a problem — the biggest 
domestic problem in the realm of 
finance, save that of the steam rail- 
roads, facing this country — and this 
problem must be solved by the co-opera- 
tion of the three parties interested, the 
public, the owners and labor. In that 
spirit all must come together and give 
of their experience and their wisdom, pooling their ideas 
and their interests that there might be worked out a 
constructive program that will put this essential indus- 
try and its relations to the public on a better footing. 

The Federal Electric Railways Commission appointed 
by the President offered the vehicle needed. Thus was 
the situation visualized by the commissioners them- 
selves and by the public-spirited citizens who by their 
aid and co-operation made it possible for the commis- 
sion to perform its task. 

First of all, the oflficials of the electric railways 
throughout the country spared no pains to supply the 
commission with the facts it needed. The American 
Electric Railway Association and its Committee of One 
Hundred not only performed an enormous amount of 
work in presenting the case of the railways to the 
commission, but in doing that work they rose above the 
selfish interests of individual companies to a full recog- 
nition of the social and public nature of their industry. 
There was no effort to withhold or conceal facts un- 
favorable to their cause; most of the witnesses testify- 
ing on behalf of the railways realized that this was a 
time when all the cards must be laid on the table. 

How All Assisted 

This help and co-operation on the part of the rail- 
ways is shown in no better way than in their answers 
to the comprehensive questionnaire sent out by the 
commission. There were asked 174 questions dealing 
with every phase of the subject. Many of the ques- 
tions sought information somewhat unfavorable to the 
cause of the railways. But the ansvi^ers came back full 
and unevasive. The preparation of these answers in- 
volved an immense amount of work. Records volu- 
minous enough to fill large libraries had to be consulted. 
Proceedings of public utility commissions and of state 
and federal courts had to be abstracted and briefed. 
Financial data for ten years back had to be analyzed 
and tabulated. Wages, fares, taxes, franchise condi- 
tions, traffic figures, details of operation, theories of 
regulation, history of public relationships — all were 
asked for with great particularity. 

And the answers sent in were so complete that in 




Charlton Ogburn 



Great Public Spirit Displayed by 
Commissioners and Witnesses — 
Cases of Railways and Labor , 
Thoroughly Prepared 

many instances it would be most unfor- 
tunate if they could not be preserved in 
permanent form. 

If the thanks of the commission go to 
the electric railways for their aid in 
this work, then to an even greater de- 
gree is the commission indebted to the 
representatives of the public for their 
invaluable help. This aid was given 
disinterestedly and purely out of a sense 
of public service. And the spirit in 
which it was done is magnificent. 
Mayors, chambers of commerce and boards of trade, 
central labor unions, and state public utility commis- 
sions, though lacking the complete records possessed by 
the railways, put such painstaking labor on their 
answers to our 174 questions that nothing else is needed 
to show the deep and widespread interest in this pub- 
lic question and a consciousness of the importance of 
its consideration by a federal commission. And no 
better way was afforded the members of the commis- 
sion of obtaining the views of the country on the mani- 
fold phases of this problem than through the answers 
sent in by these public bodies. 

The gratitude of the commission is extended espe- 
cially to the forty-three busy men who came at their 
ov^Ti expense to testify on behalf of the public at the 
hearings held by the commission. These witnesses 
traveled great distances, paying their ovvm railroad fare 
and hotel bills, that the commission might have the 
public side of this big question as expressed in their 
testimony. 

The witnesses were men whose time was valuable, 
but they gave of it freely. The list included such men 
as ex-President Taft, whose experience as joint chair- 
man of the National War Labor Board in fixing wages 
on electric railways gave him an intimate knowledge of 
the problem ; Secretary of War Baker, who came in 
close touch with the problem as Mayor of Cleveland, 
and before that as city attorney under Tom Johnson; 
Mayor Couzens of Detroit, and Mayor Babcock of 
Pittsburgh, both students of the traction problem; 
Commissioner Eastman of the Interstate Commerce 
Commission, and many leading state utility commis- 
sioners, such as Commissioners Ainey of Pennsylvania, 
Nixon of New York, McLeod of Massachussetts, Hig- 
gins of Connecticut, Bliss of Rhode Island, Hall of 
Nebraska, Corporation Counsel Burr of New lYork 
City, City Street Railway Commissioner Sanders of 
Cleveland and Commissioner Culkins of Cincinnati, 
State Senator Walsh of Massachusetts, President Fer- 
guson of the United States Chamber of Commerce, and 
many other men of prominence, including mayors of 
cities where the problem is acute, all of the leading" 
public utility experts, several specialists on taxation, 



January 3, 1920 



Electric Railway Journal 



etc., eminent economists and college professors and 
private citizens like Messrs. Bauer of Lynn, MacFar- 
land of Boston, Marion Jackson of Atlanta, ex-Gov- 
ei'nor Foss of Massachusetts, Mr. Ingram of Detroit — 
to all of whom the commission is especially indebted 
for their interesting discussions and data, the prepara- 
tion of which undoubtedly represents years of study 
and thought. 

There were other public officials and private citizens 
who could not attend in person the hearings before the 
commission, but who submitted their views, prepared 
with great care and thought. These papers, too, have 
been of help to the commission as, for instance, the 
ones from Thomas L. Sidlo of Cleveland, Thomas A. 
Edison and Edward N. Hurley. 

And labor, too, showed its deep interest and did its 
part. There was no testimony given before the com- 
mission more carefully prepared and presented than 
that given by the representatives of labor, the Amal- 
gamated Association of Street and Electric Railway 
Employees of America. The commission recognizes, I 
am sure, the preponderating importance of the labor 
phase of the traction problem, and it was indeed glad 
to have the full statements from the labor representa- 
tives. 

I may be permitted, I hope, to speak of the patriotic 
work of the com.missioners themselves. They are en- 
titled to the thanks of the country for their self-sacri- 
ficing work on this commission, done without a dollar's 
remuneration and at considerable personal cost. These 
commissioners sat day after day through long hear- 
ings that consumed twenty-eight days, from 10 in the 
morning until 10 or 11 at night, with brief intervals 
for lunch and dinner, and listened with the closest 
concentration to more than 100 witnesses' discussion 
of every phase of this important subject. And how 
many more days they have spent in considering the 
evidence gathered and submitted to them it is impos- 
sible to estimate; but it is obvious that the time they 
have devoted to this work must have been consider- 
able. 

The task of gathering and submitting this evidence 
fell to my lot as the executive secretary. The request 
of the editor of the Electric Railway Journal was 
for an article showing how this work was done. This, 
I think, has been indicated above rather clearly. 

Much Work Done With Little Expenditure 

Any recountal of the facts of this investigation 
ought to make the reader grasp the importance of the 
two factors that guided every step taken in perform- 
ing this work ; first the enormous scope of the investiga- 
tion, the magnitude of the industry, the manifold rami- 
fications and phases of the problem; and secondly, that 
the entire cost of the investigation had to be kept 
within the small sum of $10,000 allotted for the pur- 
pose. If space were permitted in this article I think 
I could show how this investigation was extended from 
city to city, from subject to subject, how facts about 
the industry were gleaned from every source, how the 
small appropriation was stretched and further 
stretched until by the practice of the strictest economy 
it was made to cover the whole scope of the work, until 
the reader would admit that here at least was one gov- 
ernment agency that was not "honeycombed with ex- 
travagance." 

The record of the hearings, which contained the prin- 
cipal evidence utilized by the commission, comprised 



6195 typewritten pages and represents the testimony 
of 103 witnesses and a number of submitted statements. 
Seven of these witnesses testified in the presentation of 
the labor program. The remainder were about equally 
divided between the public and the railways. W. Jett 
Lauck acted as counsel for the Amalgamated Association 
of Street and Electric Railway Employees of America 
in the case submitted on behalf of labor, and Bentley W. 
Warren acted as counsel for the railways. The program 
for the public's side was arranged by me as executive 
secretary, with valuable suggestions from the chairman. 

Since the hearings closed on Oct. 4 I have indexed 
and briefed all of the evidence — compressing the 6195 
pages into 12E0 pages; nothing has been omitted, but 
the testimony has merely been condensed. Copies of all 
of these abstracts were furnished to each commissioner. 

I am now rearranging the entire body of testimony 
by subject matter into chapters relating under the 
proper heading the substance of each witness's testi- 
mony, utilizing where needed to round out the evidence 
the data obtained from the answers to the question- 
naires. 

The gathering of the evidence was greatly furthered 
by the use of the questionnaire. It saved the work of a 
corps of field investigators, the employment of which 
was made impossible by our limited funds. This ques- 
tionnaire, made very comprehensive at the direction of 
the commission, was prepared by me with suggestions 
by the chairman. A second and much shorter ques- 
tionnaire was sent out on Dec. 1 in order to obtain up- 
to-date traffic figures from all the electric railways. 

Special Studies Were Made 

I have also obtained special reports on special topics, 
such as one-man cars, zone-plan fare collections in Great 
Britain and in America, financial reports of all Canadian 
electric railways, brief summaries of general financial 
conditions of electric railways in other countries ; a spe- 
cial comparative study of municipal operation of the 
electric lines of Seattle. We have received the benefit 
of the investigations and reports made by Stone & Web- 
ster and by Day & Zimmerman of the traction systems 
of New York City, the reports on electric railways by 
the Merchants' Association of New York, the reports of 
most of the state utility commissions, the reports of the 
hearings before the committee on public utilities of the 
United States Chamber of Commerce, the reports of the 
special committee on street railways in Massachusetts 
published on Nov. 15, 1919, and all available valuation 
reports on electric railways of state commissions and 
engineering firms. 

In addition to the general investigation of all electric 
railways, there were some cities where I made a special 
study for the commission of the recent developments in 
the traction situation, notably New York, Boston, Phila- 
delphia, Chicago, Cincinnati, Toledo, Washington, Den- 
ver, New Orleans, Louisville, Pittsburgh, St. Louis and 
East St. Louis, Cleveland, Detroit, Atlanta, Scranton, 
Kansas City, Memphis and Buffalo, as well as a number 
of smaller cities, and several Canadian cities. 

The tabulation and analysis of all these data, espe- 
cially that received in answer to our questionnaires, has 
been a very engrossing task. To accomplish it within 
the time required has necessitated a constant and daily 
violation of the eight-hour rule in our office — often work- 
ing twice that number of hours — to an extent that would 
disqualify us for membership in the union, for we got 
no pay for "overtime." 



10 



Electric Railway Journal 



Vol. 55, No. 1 



A feature of the day's work was the acknowledgment 
of numerous letters of inquiry, requests for copies of 
our reports and especially the voluntary contribution 
of "solutions" of the traction problem that came in from 
all over the country with every mail. I wish that space 
permitted an account of some of the "brilliant sugges- 
tions" we received for saving the electric railway in- 
dustry from "bankturupter" — as one Californian de- 
scribed it. On the other hand, many of these plans 
showed the results of thought and study — and I might 
say of every possible shade of thought — and indicated 
that from unexpected sources may come evidence of deep 
public interest in this big public problem and that the 
"man in the street" — the car rider himself — in whose 
interest this commission has been so laboriously en- 
gaged — may have a few ideas himself on the subject 
more pertinent and more practical than those of our 
greatest utility experts. 

I was enabled to attend to the vast amount of detail 
work incident to this investigation only through the 
help of two extremely competent and faithful assistants, 
my secretary, Miss Crawley, and my statistician, Miss 



Stone, and a small force of efficient stenographers, all 
of whom seemed to have caught the spirit of public 
service characterizing this task, and worked, not by 
the clock, but with a certain pride of achievement. 

After the hearings, on the authorization of the com- 
mission, I engaged Dr. Delos F. Wilcox to aid in analyz- 
ing the evidence, and both Dr. Wilcox and Dr. Milo R. 
Maltbie to advise with the commission, making recom- 
mendations, etc. The way in which these men have 
undertaken this task has clearly shown that they, too, 
have seen that here was an opportunity to do a con- 
structive work, which if done properly would be of last- 
ing benefit to the whole country. 

Just what the commission will finally agree upon in 
its report to the President remains as this is written to 
be seen, but from my intimate knowledge of the broad- 
minded viewpoint of the commissioners themselves I 
am certain that there will emerge from this investiga- 
tion a program and a suggested policy which every com- 
munity can accept as a guide in its consideration of this 
problem, with only the modifications needed to adapt it 
to different localities. 



The Municipality's 
Viewpoint in Electric Transportation 

By W. C . Culkins 

Director Department of Street Railroads, Cincinnati, Ohio 



While the Relation of City and Trac- 
tion System Is Still Nebulous, the 
War Has Made an Improvement 
in Conditions 

ANEW municipal viewpoint of 
street railway transportation is 
one of the by-products of the 
world war. 

Rapid increases in the cost of ma- 
terials and demand for higher wages 
has brought about a condition which is 
unprecedented and which was un- 
thought of at the time when most of 
the franchises were adopted. In some 
places a falling off in traffic during the 
war period intensified the situation. In 
others the establishment of war industries caused such 
increases as to require heavy capital expenditures for 
extensions and equipment. Failure of companies to earn 
a fair return on capital already invested made it im- 
possible to secure new capital, and the entire industry 
was threatened with collapse. 

This situation, arriving at a time when the safety 
of the nation demanded the highest efficiency in pro- 
duction, suddenly focused attention on this vital subject. 
Startling questions such as these were presented: Un- 
der the existing circumstances would it be possible 
to require the maintenance of adequate service to meet 
the national emergency? What authority had the cities 
retained in the franchises to control such service and 
-were the operators in a position to furnish it if they 
so desired? Indeed, was there not grave danger that 




There Is Evidence of Accelerated 

Progress in the Development of a 

Logical and an Equitable Type 

of Franchise 

* 

the government had found it necessary 
to take over the national transportation 
facilities because they were unable to 
meet the economic crisis. 

For the first time municipalities gen- 
erally were awakened to a realization 
that street railway transportation was 
so vitally interwoven in the economic 
and social life of the community that it 
was not only essential to the existence 
of all other industries but to the com- 
munity itself. Just as the early cities 
were built upon the waterways, so the cities had developed 
internally along the street railway routes, with neither 
advancing far beyond the other. The quick, convenient 
low-priced method of transportation furnished by the 
street railway had to be maintained or the employees 
could not be transported to the factories and stores, 
and the citizens would be broken into groups unable to 
m.aintain the interrelation so necessary to their social 
and commercial requirements. 

Impending strikes and the drift of electric railway 
employees to more remunerative occupations caused the 
government to see the danger, and the War Labor 
Board created at Washington was prompt and unstinted 
in ordering increases that would keep the men on the 
cars. When asked by the electric railway companies 
where the money would come from to meet the increased 



the service would be discontinued entirely? Already payrolls, the board "passed the buck," saying that it 



January 3, 1920 



Electric Railway Journal 



11 



was a matter between the companies and their own 
city officials. It was much simpler and more popular 
to raise wages than to raise fares. 

However, the board, the Secretary of the Treasury 
and the President of the United States did recommend 
that the municipal authorities take up the question 
■of giving relief to the companies, not as a favor to 
the corporations but in order that each community 
might carry out efficiently its part of the program of 
national defense. 

These local emergencies and the national insistency 
were pressing upon municipalities for a prompt solu- 
tion of this problem. To find this solution presented 
■extreme difficulties because of the necessity of getting 
a different perspective of a field in which past practice 
and tradition had largely crystallized into fixed policies. 

Although in the earliest days of street railway fran- 
chises there appears to have been a recognition that 
these enterprises were charged with public service, that 
was afterward lost sight of, until even the reserva- 
tion of the rights to purchase the properties by 
municipalities disappeared in new revisions or were 
specifically abrogated. 

Until Recently Franchise Progress 
Has Been Slow 

The characteristic of private monopoly became more 
pronounced, fostered by the companies, no doubt, with 
the same lack of prescience which was shown in their 
creation of the "nickel fare fetish." 

A perusal of the first street railway franchise which 
was granted by the State of New York in 1831 to 
the New York & Harlem Railroad city lines, impresses 
one with the small advance made in the franchises 
granted since that time in most cities. The cardinal 
principal was a flat, fixed fare with the greatest pos- 
sible financial contributions to the city in the way 
of franchise taxes, street paving, street cleaning or 
other municipal functions to the relief of the city. 

In the flat-fare plan, the lead of civic welfare 
enthusiasts was followed without investigation on the 
theory that any other plan would tend to increase con- 
gestion of population in the downtown districts. 

European cities have the zone system and also have 
■densely populated districts, therefore, they agreed, a 
2one system produces congestion. In this they over- 
looked the small detail that the congestion in European 
cities antedated the street railway, and to-day these 
enthusiasts still overlook the fact that in flat-fare 
New York the density of population on the East Side 
is greater than that of European cities. The popula- 
tion, unmindful and perhaps ignorant of the pretty 
theories, still neglects the opportunity to seek the green 
fields and flowers beyond Harlem. The fixed, flat fare 
made an attractive appeal to the multitude, and in some 
states the law requires that new franchises shall be 
granted by competition to the company agreeing to 
carry passengers for the lowest rate of fare with no 
other requirement, as though a low fare alone deter- 
mined the value of street car service. 

With an inexcusable ignorance of their own cost 
accounting, some operators went further and offered 
as an inducement reduced rates during the rush hour 
when their own expenses were highest. 

The franchise taxes and the assumption of other 
municipal burdens fitted in nicely with the period when 
the politicians had as a little fetish of their own the 
"low tax rate," which was just as illogical as a measure 



of governmental service as is the low car fare of street 
car service. Nevertheless, whatever could be exacted 
from the street car company represented that much 
more money for municipal expenditures without affect- 
ing the tax rate. Meanwhile, the operator had his 
problem in meeting these requirements out of a fixed 
fare and of providing satisfactory dividends. 

This was made more difficult since the consolida- 
tion of many small lines in the cities under unrestricted 
stock operations had attracted the speculative investor, 
and the quick supercession of the cable by the electric 
cars had piled up heavy capital charges. It is not 
difficult to see where the car rider, unorganized and 
unrepresented, came out. 

The popular provision for a division of profits be- 
tween the company and the city was a further invitation 
to exploit the patron. It is not surprising that he felt 
that there was an unholy alliance against his interests, 
and he turned readily to the demagogue who capital- 
ized his situation for political advancement. When 
someone who sincerely desired to improve conditions in 
the interest of the car rider and the community was 
elected to office, he usually discovered that with an 
entire absence of understanding of the public character 
of the street railway industry the framers of the* 
franchise had reserved no control over the service, or 
had couched the instrument in vague terms that would 
require a series of court decisions for interpretation. 

A Tendency Toward Complication 

Was Manifested 

Then came clumsy efforts to enforce the rendering of 
improved service, bringing about long and complex 
franchises which attempted detailed recitals of specific 
requirements coupled with stern provisions for the 
revocation of franchise rights. All of these were in- 
effectual, as is shown in cases like those of Detroit 
and Toledo, where the railways have been operating for 
years without any franchise. 

Competition was invoked and laws were passed re- 
quiring companies to allow competitors joint use of 
their tracks to reach city terminals and thereby to 
break the monopolistic hold of the corporation. The 
farepayer as the ultimate consumer would have suffered 
from the increased expense of the two organizations, 
but the plan did little more than encourage "raids" on 
existing companies. 

Short-term franchises, as an expedient to make com- 
panies behave, were vigorously advocated. Many states 
now have these limitations but not for such short periods 
as the enthusiasts demanded, which would have rendered 
financing impossible. 

Constitutional, legislative and special charter provi- 
sions likewise added to complicate the situation. 

The fundamental weakness of all of these efforts for a 
solution of the problem lay in the fact that they per- 
sisted in regarding the utility as something foreign 
and inimical to the public interest, something to be 
prodded and fought instead of tamed and broken to 
the track, then properly sustained to enable it to per- 
form its duties. It was not until the last decade that 
marked advance was made in franchise policies. 

The Kansas City "peace agreement" of 1903 seemed 
to recognize possible limitations on the earning power 
of the street railway in that, after imposing most all 
conceivable burdens from an 8 per cent tax to the light- 
ing of street railway crossings and the furnishing of 
power for the fire department, it restricted the City 



12 



Electric Railway Journal 



Vol. 55, No. 1 



Council on at least one route from requiring schedules 
whose cost of operation would be greater than the 
amount of fares or other compensation received through 
operating them. 

The Chicago settlement in 1907 and the Cleveland 
Tayler-plan franchise in 1910 established distinct ad- 
vances in franchise making in that they recognized 
two important principles. These were the right of the 
public to retain control, and the obligation to allow to 
the investor a reasonable and moderate return on his 
investment, to be substantially guaranteed. The Chicago 
settlement, however, while controlling finances and ex- 
tensions, is rather vague in the authority of the city 
to require definite standards of service. Its strong 
talking point apparently was the large income derived 
by the city from the division of profits, which, after 
all was a special tax levied on the car-riding public 
for the benefit of the tax-paying public. 

The Cleveland plan was the development of a long 
political struggle in which the 3-cent fare had been 
the slogan and the principal objective. It, therefore, 
contained the basic principle that there should be no 
divisible surplus, and that any profits arising beyond 
the actual cost of service should be applied to the re- 
duction of fares. Franchise taxes and similar charges 
were eliminated and complete control of service vested 
in the city. This provided, however, that an item of 
the cost of service is a 6 per cent return to the stock- 
holders. 

The Kansas City agreement of 1914 contained definite 
provisions for the control of the gross receipts of the 
company, and a 6 per cent allowance to the stockholders. 
Control of service was sought in a rather indirect way, 
by giving to the city the appointment of eleven directors 
of the company and by placing the supervision in a 
board of two, consisting of the president of the com- 
pany and the city member of the Board of Control, 
appointed by the Mayor. The objection to this "SO- 
SO" division of authority should be fairly obvious. 

The above illustrates the limited experience in the 
development in modernized franchise making from 
which the awakened municipalities had to draw in 
solving the transportation problem which had suddenly 
been presented to them in a new light. Public utility 
commissions and city governments everywhere were 
deluged with requests for relief for the electric rail- 
ways that were threatened with receiverships or were 
actually placed in the hands of the receivers. Tem- 
porary fare increases, the zone system, municipal owner- 
ship, the elimination of special burdens and many purely 
local remedies were discussed in all quarters. Oper- 
ators who, by reason of the fact that their companies 
had been financed by speculative rather than conserva- 
tive investors, had not looked with great favor upon 
the limited return provided in the later ordinances, were 
now reduced to the "Oh, Lord, anything" class. Where 
rates of fare had been increased it was suddenly found 
that public opinion must be reckoned with. The profit- 
able short-haul rider walked and the gross receipts did 
not reflect the increased percentage in fares. 

"Service-at-Cost" Emerges from Chaos 

From this chaos there emerged, among those munic- 
ipalities which elected to meet the problem in a broad, 
non-political and enlightened spirit, a tendency toward 
the service-at-cost plan. Its appeal was particularly 
strong since the facts were being demonstrated that 
street railroads could not continue on pre-war conditions 



and that the duration of high, war prices was indefinite. 
It appeared to be a device that would meet a present 
emergency and automatically adapt itself to future 
readjustments as required. What is more important 
there came with this a new visualization of the munic- 
ipal street railway franchise. Where it had been for- 
merly looked upon as a special grant to a private 
monopoly, it was no,w regarded as the creation of an 
agency for the carrying out of a municipal function 
with which the community itself was definitely charged. 
If the city did not elect to adopt direct action by munic- 
ipal ownership and operation, it must offer sufficient 
security and return to private enterprise to induce it 
to undertake the obligation for the city. As this obliga- 
tion is primarily one of public service the comm.unity 
must reserve to itself complete control over its agent 
in these matters; and the agent must be permitted to 
exact for the commodity furnished not more than its 
cost plus such reasonable reward as will assure effi- 
cient and economical management and such expansion 
as the needs of the public may require. 

Flexibility Must Be a Factor in Franchises 

With constantly changing economic conditions and 
the growth and shifting of population in cities, there 
must be included such degree of elasticity as will allow 
the arrangement to function smoothly and properly. 
While these fundamentals are being generally accepted 
by forward thinking public officials their expression 
and application in specific franchise contracts or their 
equivalents vary widely. Montreal has its three-way 
division of profits; to the city, to the company and 
to the car rider. Boston, through its State-appointed 
board, fixed the schedule of fares to be filed with the 
Public Service Commission. The Massachusetts theory 
of governmental subsidy has many strong supporters. 
Cleveland controls its service through the City Council, 
which appoints its commissioner, fixes car-mileage al- 
lowances, and retains a cumbersome schedule of cash, 
ticket and transfer charges, all of which has been 
substantially followed by Akron. Cincinnati has at- 
tempted to simplify and render more elastic the service- \ 
at-cost system by eliminating the schedules and provid- 
ing a budget of financial control, and has invested 
plenary authority in a director appointed by the Mayor, 
reserving to the Council matters of new franchises and 
extensions only. The Cincinnati plan provides an in- 
centive to economical management, and allows freedom 
in matters relating to new securities, subject to the 
approval of the city and the State. 

The Chicago settlement, once the paragon, has failed 
to meet the conditions now affecting the utility gen- 
erally. Kansas City, with its city directors, the divi- 
dend responsibility of its Board of Control and its 
fixed fare, is now seeking through its Chamber of Com- 
merce a revision of its contract. In Minneapolis the 
franchise recently rejected at a referendum closely fol- 
lowed the Cincinnati plan, but adopted the Cleveland 
method of supervision by the City Council and its ap- 
pointed agent and provided penalties as well as rewards 
for the company. Dallas is not entirely happy with its 
revision downward and sliding-scale-of-return plan. 
The Pacific coast is trying out municipal ownership, and 
Eastern cities are struggling to make a fit of the zone 
system. 

With this heterogeneity of theories and processes the 
composite municipal viewpoint presents a rather hazy 
picture, confusing rather than helpful to the other cities 



January 3, 1920 



Electric Railway Journal 



13 



still wrestling with the problem. While it is true that 
local conditions and expediency will affect or modify 
any general plan, the existence of such wide divergence 
in the application of underlying principles indicates 
very clearly that the processes of evolution are still 
at work and that the ideal franchise is yet to be 
produced. It is not putting it too strongly to say that 
there is not a street railway franchise in the United 
States that could not be improved by revision. Fur- 
thermore, such revisions if not essential are at least 
materially important to the communities involved that 



they may realize upon their opportunities and achieve 
their proper destinies. 

This nation has become a nation of cities. In many 
growing states the population outside of urban centers 
is actually decreasing. It follows, therefore, that the 
nation can only become great and powerful in proiwr- 
tion to the expansion and prosperity of its commercial 
and industrial centers. These processes are so inti- 
mately bound up with the problem of their trans- 
portation facilities that the question becomes one of 
paramount importance. 



How Buses Are Run in Baltimore 

By L. H. Palmer 

Assistant to President United Railivays & Electric Company of Baltimore , 



Pacts Are Given About the Charles 

Street Line, an Auxiliary of the 

United Railways & Electric 

Company, Baltimore 

IN COMMON with other cities in the 
country, Baltimore was infested with 
the jitney craze in the early part of 
1915. From two machines, put in oper- 
ation in February of that year, the 
number increased to a maximum of 
more than 300 licenses, with 105 ma- 
chines actually operated, at the peak 
of the business in the beginning of that 
summer. The resulting loss to the 
United Railways & Electric Company 
of Baltimore was appreciable, amount- 
ing to more than $500 per day. Of these machines, 
a few were motor buses seating from twelve to 
twenty passengers. Most of the service, however, 
was furnished by a modified express wagon body 
mounted on a Ford chassis, the driver's seat holding 
three, including himself, and the two longitudinal seats 
behind the driver's seat usually holding four persons 
each, but, in some cases, five or six. This made the 
average seated load carried by these Ford cars ten. 
Until overcrowding was prohibited by the Public Service 
Commission the actual loads carried ran up to twenty 
or twenty-five during the peak rush hour. In addition, 
several lines of motor buses were projected which had 
more ambitious plans and backing. It was shortly be- 




The Author Considers There Is a 

Limited Field for Buses in City 

Transportation at Fares Higher 

Than on Cars 

bus operation in New York and in one 
or two other large cities had been taken 
up, so that there appeared to be serious 
possibilities of competition with the 
street railway company. 

As a result of these developments, 
foreshadowing new and quantitatively 
unknown competition, the Baltimore 
Transit Company and the City Motor 
Company were organized. The latter 
operated the Baltimore type of Ford 
jitney in direct competition with the 
existing independent jitneys, and the former, a higher- 
class bus service operating on Charles Street. 

The City Motor Company operating Ford jitneys 
started with twenty-seven of these cars and later pur- 
chased five Vim chassis to replace an equal number of 
Fords which had been retired. These cars were operated 
from July 25, 1915, until Sept. 28, 1916, and the total 
net cost of the experiment was upward of $115,000, 
the deficit from operation being more than $85,000. 

The experience demonstrated conclusively what had 
been felt was the correct conclusion, viz. : that there 
was no money in the small-capacity Ford jitney. The 
constantly changing ovmership of the jitneys operated 
in competition with us was the same as in other sections 



fore this, also, that the question of competitive motor- of the country, and the deduction that the unemploy- 




FLEET OF BUSES USED IN AUXILIARY SERVICE IN BALTIMORE 



14 



Electric Railway Journal 



Vol. 55, No. 1 




CLOSE-UP VIEW OP BALTIMORE BUS 

ment factor in the industrial situation was largely 
responsible for the number of these ears operated 
seemed to be proved. After the experiment of operating 
this service for fifteen months, as stated, the City Motoi 
Company abandoned it entirely and disposed of its 
equipment. In the meantime the number of competitive 
vehicles had waned, and the independent competition 
diminished until, at present, there are some thirty-seven 
licenses and about thirty jitneys still operated. The 
railway company feels that the accomplishment of some 
rerouting plans now under consideration and the pos- 
sible utilization of one-man cars on a frequent headway 
will mean a still further reduction in the number of 
these machines. 

Real Buses on Charles Street Line 

About the same time that the Ford jitneys were put 
in service by the City Motor Company, a fleet of twenty 
buses was put in operation on Charles Street by the 
Baltimore Transit Company. Charles Street is one of 
the principal high-class business and exclusive residen- 
tial streets of Baltimore and is a narrow thoroughfare 
with some rather severe grades, but paved its entire 
length. The worst grade is about 300 ft. long and the 
ruling grade is 8 per cent. The two views below, which 
are taken of Charles Street in the business district, 
give a good idea of the congested nature of this part 
of the route. Views of Charles Street farther north 
are given on page 15. A picture of the garage located 
about midway of and on the route is shown above. It 
houses the shop and operating headquarters, and 
provides housing facilities. 

The bus service on Charles Street caters to high-class 
traffic. The character of the thoroughfare on both its 



GARAGE ON NORTH CHARLES STREET 

lower business end and the upper residential end is 
indicated by accompanying illustrations. The buses put 
in operation were of a larger type, seating twelve per- 
sons, with an allowable standing capacity of three. 

On this route also there was competition in the form 
of a regularly operated bus service, which was begun 
on June 8, 1915, with four Buick chassis, on which were 
mounted bodies seating fifteen. This number of buses 
was afterward doubled, and they continued to operate 
in competition with the bus line of the Baltimore 
Transit Company until July, 1916, when application to 
withdraw was made to the Public Service Commission 
because of losses sustained. Rumor placed the total loss 
which was incurred by this operation in the neighbor- 
hood of $50,000. 

After operating the original buses for twenty-six 
months, the Baltimore Transit Company sold them and 
replaced them with twenty higher-priced chassis on 
which a Brill body seating sixteen persons was mounted, 
and they have now been in operation for twenty-eight 
months. These buses are operated by an independent 
company and do not exchange transfers with the street 
cars. The rate of fare has kept pace with that of the 
street car system and at present is 7 cents cash, or 
two metal tokens for 13 cents. The metal tokens used 
are the same as those used by the railway company, so 
they are interchangeable. 

The buses are handled by one man and are equipped 
with a registering fare box. To facilitate making 
change, the chauffeur, each morning, is provided with 
$13 in change and metal checks, put up in small 
envelopes arranged in a convenient-sized tin box. When 
a passenger presents money other than the exact fare, 
one of these envelopes is handed to him and he tears 




VIEWS ON CHARLES STREET, LOOKING NORTH FROM LEXINGTON STREET, SHOWING THE TRAFFIC CONGESTION. 

THE BUSES RUN OVER THIS PART OF CHARLES STREET 



January 3, 1920 



Electric Railway Journal 



15 



it open and gets out the 
change to pay his fare. 
Since the metal 6J-cent 
tickets have been put in 
circulation in Baltimore, 
envelopes containing four 
tickets for 26 cents are 
also sold by the chauffeurs. 
These envelopes are put 
up by both the day and 
night dispatchers, and at 
present 1,500 envelopes 
containing metal tickets 
and 1,000 envelopes con- 
taining change are used 
daily. 

The Public Service 
Commission has co-operat- 
ed with the Baltimore 
Transit Company in limit- 
ing standing passengers, 
and at present a maximum 
of only six standees is per- 
mitted in the bus at one 
time. Although this rule 
is interpreted liberally 
where it would mean sepa- 
rating the members of a 
party of two or three per- 
sons traveling together, 

every effort is made to keep the number of standees 
down to the prescribed maximum. 

The buses operate from 7 o'clock in the morning until 
after midnight and furnish an alternative service to 
that provided by street car lines. These surface cars 
parallel the route within the distance of a block or two 
and, for part of the distance, operate over the same 
street. Ten buses furnish the base headway and up to 
twenty are operated in the evening rush hour as a 
maximum. The route, from the center of the city up 
Charles Street to the residential section is 2.9 miles 
in length, with some of the service, during the rush 
hour particularly, turned short one-half mile south of 
the northern terminus. The motor buses, because of 
their direct route, are able to make somewhat better 
time than the street cars and are popular with the 
persons whom they can directly serve. They pass by 
the Union Station of the Pennsylvania and Western 
Maryland Railroads which at times is quite a traffic 
center. To improve the regularity and speed of opera- 
tion, due to the congested condition of Charles Street 




CHARLES STREET, LOOKING NORTH FROM CENTER. 
THERE IS AN 8 PER CENT GRADE HERE 



which is increased by street 
cars, consideration is being 
given to the diversion of 
this line, for part of its dis- 
tance, one block to the east. 
This, if done, will be an 
excellent illustration of the 
flexibility of bus service. 

The great majority of 
the jitneys that have com- 
peted with this company, 
and those which still are 
left, operate between east 
Baltimore and the shopping 
district in the center of the 
city. 

Originally, the jitneys 
were unregulated, but an 
ordinance was passed in 
July, 1915, which imposed 
a license fee of $100 for 
four passengers and $25 for 
each additional passenger. 
This was declared invalid 
by the court. 

On June 9, 1915, the Pub- 
lic Service Commission as- 
sumed jurisdiction over jit- 
neys and issued regulations 
covering their operation. 
By an act of the Legislature, jitneys and motor buses 
are taxed as follows: 

Class A — Weighing less than 3000 lb., 1/18 cent per seat- 
mile. 

Class B— Over 3000 lb. and under 7000 lb., 1/15 cent per 
seat-mile. 

Class C — Over 7000 lb., 1/6 cent per seat-mile. 

Effective Jan. 1, 1919, the federal government im- 
posed an additional tax, amounting per bus to $20 per 
year. 

Prospective jitney operators must apply to the State 
Automobile Commissioner for a license, giving the route 
to be followed, schedule to be maintained, number of 
buses, seating capacity and the weight, from which is 
computed the tax levied. 

A permit to operate must be obtained from the Public 
Service Commission and, in addition to the things 
enumerated above, there are no other special regula- 
tions of the commission or the city, except that the 
operators have to obey the ordinary traffic regulations 
and are required to file their rate of fare. In recent 




THE BOULEVARD SECTION OF CHARLES STREET, LOOKING NORTH FROM 29th STREET, SHOWING RESIDENCES ON 
RIGHT AND WTTMAN PARK AND JOHNS HOPKINS UNIVERSITY ON LEFT 



16 



Electric Railway Journal 



Vol. 55, No. 1 



months, the Public Service Commission has been check- 
ing them up to require them to operate the route speci- 
fied and in other ways to obey the general regulations 
laid down. It is difficult to enforce regulations on the 
independent operators. Copies of the schedules to be 
operated are sent to the commission and are kept on 
Ifile by that body. 

On Oct. 1, 1918, the street railway company raised 
its fare from 5 cents to 6 cents, and about the same 
time the jitneys obtained permission from the Public 
Service Commission to charge 7 cents, and they have 
ibeen charging that amount since then. According to 
our observations this has netted them a material in- 
crease in their revenue, because apparently they are 
carrying about as many people as before the increase 
went into effect. 

Service Statistics of Transit Company's Buses 

The present bus of the Baltimore Transit Company 
-weighs 6970 lb., is mounted on a H to 2-ton White 
chassis of the regular type — the length of chassis is 
220 in., and the wheelbase 158 in. The width of the 
bus is 72 in., which permits cross seats holding two 
passengers each on one side of the aisle and seats 
holding one passenger each on the other side of the 
aisle. The height of the bus is 122 in. over all. In ad- 
dition to this, an advertising rack, extending some 18 in. 
above the top of the roof, is attached all around the 
sides of the roof and carries outdoor advertising. 

Fourteen men are employed in the shop organization, 
Tvhich also takes care of most of the maintenance of 
the chassis of the automobiles and motor trucks belong- 
ing to the United Railways Company. This is divided as 
follows: One shop foreman, one assistant foreman, nine 
mechanics, one helper, one washer and one car cleaner. 
Body repairs and painting are done at the shops of the 
United Railways & Electric Company, on a cost-plus 
basis. The transportation supervisory force consists 
of a superintendent, a day and night dispatcher and 
one stock clerk. They have a small Ford service car 
which is used for minor repairs and troubles. 

The following general statistics show the results 
of operation for 1918 and for ten months of 1919, on 
the Charles Street route, during which time the present 
buses have been in operation : 



Year 1918 

Revenue from transportation $100,478 

Other operating revenue 4,877 

Total operating revenue $ 1 05,355 

Maintenanceof equipment, includingdepreciation. . . . $34,066 

Conducting transportation 52,298 

General and miscellaneous 1 2,2 1 6 

Total operating expenses $98,580 

Net operating revenue ». . . . $6,775 

Taxes and licenses 3,751 

Operating income $3,024 

Non-operating income 

Interest and discount 1 2,929 

Deficit $9,905 

Profit and loss adjustments 777 

Totaldeficit $10,682 

♦Deficit 

OPERATING units AND STATISTICS 

Year 1918 

Operating ratio, per cent 93.57 

Revenue bus-miles 365, 1 20 

Operating revenue per bus-mile, cents 28. 85 

Operating expenses per bus-mlie, cents 27 . 00 

Tire repairs and renewals permile, cents .50 

Milesper gallon of gasoline 4.58 

Gasoline cost per mile, cents 4 . 88 

Depreciation allowance per mile, cents... . ; 6.32 

Average fare per passenger, cents ..^ . 5. 15 



10 months 
1919 
$98,398 
7,867 

$106,265 

$43,186 
52,427 
11,687 

$107,300 

* $1,035 

4,576 

* $5,611 

1,793 
12,767 

$16,584 



1 months 

1919 

100.97 

329,841 

32.22 

32.53 

1.51 

4.62 

5.09 

6.59 

6.07 



The operation of the Charles Street line has not been 
financially successful. The bus is of small capacity, 
limiting its earning power, but, as stated, it has filled 
a need for alternative or direct service. 

The wages paid employees of the bus company have 
generally kept step with those paid by the United Rail- 
ways Company to similar classes of employees and, at 
the present time, the bus company is able to get 
chauffeurs of a satisfactory character. 

The bus company has been using a special high-grade 
motor fuel which has given approximately a 35 per 
cent increase in bus-miles at 25 per cent increase for 
cost of fuel. 

Due to the limited size of the bus and the fact that 
it is an alternative service, no passes are given for 
riding free upon the bus. The only persons who are 
permitted to do this are instructors, inspectors and 
men engaged in the actual operation of the line. 

When these new buses were purchased a depreciation 
reserve of 25 per cent per annum was set up. This 
was continued for a short time and then cut to 20 
per cent. After an experience of ten months, however, 
the rate was again raised to 25 per cent, which is the 
present depreciation figure. 

As a result of experience, it is believed that the 25 
per cent depreciation, plus the residual value of the 
vehicle when retired, is sufficient to provide for re- 
newals of the body and chassis. Adequate reserves also 
should be set up for accidents and tires, and experience 
shows that it is wise to purchase the higher grade 
chassis. The service to which these machines are sub- 
jected is necessarily very severe, and it is a case of 
the more expensive being the cheaper in the long run, 
because of the higher grades of materials and workman- 
ship that go into the better class of trucks. 

Where the Bus Is Useful 

From studies that have been made, it is felt that 
a properly designed motor bus, of reasonably large 
seating capacity and comfortable riding qualities, can 
be used to advantage to supplement city street car 
facilities, by furnishing a higher-class service in which 
standing passengers are not allowed, -and for which a 
higher fare is charged; in other words, guaranteeing a 
seat for an increased fare over that charged by the 
street railways. Buses of such a type, or even of 
smaller size, are of value also as feeders for outlying 
territory, or could be used to maintain crosstown service 
through sections of the city where it would not pay to 
constract and operate street cars. 

In two recent instances, where the demand for the 
construction of extensions to the present lines of the 
United Railways Company was insistent, motor buses 
were operated from the street car line to the district 
involved, and proved successful as a substituted service 
until the time when the street car lines could be ex- 
tended. It is believed that there is a field for the 
operation and use of motor buses as feeders for or 
extensions of existing lines, and that, when properly 
handled, such vehicles should assist in developing the 
territory until traffic warrants construction of electric 
tracks. 

In this climate, where the paving is reasonably good 
and with proper study given to spring suspen- 
sion, satisfactory results from the standpoint of low 
cost and good ridmg qualities can be obtained with 
solid tire wheels. These are much better also from the 
standpoint of the passenger, because the vehicle does 



January 3, 1920 



Electric Railway Journal 



17 



not have to be delayed for blow-outs or deflated tires 
of any kind. In the original twenty buses purchased, 
35-in. X 5-in. pneumatic tires were used. On the pres- 
ent buses, very good results, indeed, have been obtained 
from solid tires and Sewell cushion wheels, 36-in. x 4-in. 
front and 36-in. x 8-in. rear, equipped with giant Fire- 
stone tires. An average of 28,000 miles per tire is 
obtained, both front and rear, and under normal city 
operation it is believed these should be entirely 
satisfactory. 

An accident reserve is desirable, and an ample re- 
serve accrual should be instituted when the buses are 
first put in operation. 

With a good, reliable tjrpe of vehicle and a shop 
organization properly co-ordinated so that the buses 
may be maintained efficiently, and where adequate super- 
vision is given to the drivers of the buses, there is 
no reason^ judging from present experience, why satis- 



factory and dependable service cannot be rendered. In 
general, it is recommended that a motor bus line should 
not be started at the same rate of fare as that charged 
by the street railway; but, if the policy is adopted of 
permitting no standing passengers and of providing 
sufficient seats, under normal conditions, to meet the 
rush-hour load, then a higher fare should and must 
be charged if the service is going to remain on a 
solvent basis. 

It is believed the motor bus is here to stay, that 
its use is going to increase largely and that the logical 
people to handle and develop it are those who have 
been trained and received their experience in street rail- 
way operation. It behooves the progressive street 
railway manager to study the motor bus situation and 
be prepared to meet it and to use it as an auxiliary 
to his other operations, rather than have to fight it as 
a competitor. 



-r 



The Iijvestor and the Electric Railway 

Capital Which Formerly Flowed Readily Into This Industry Is Now Diverted Into Other 

Channels on Account of the Radically Changed Conditions Under Which 

the Traction Business Must Now Be Conducted 

By "Financier*^ 



AN IDEAL street railway system may be described as 
/-• one where the ordinary citizen can be carried 
A. A. swiftly, safely and reliably from a point very near 
his residence to his workshop or place of business at 
stated intervals not far apart, in a clean, comfortable 
car, not overcrowded. This car must be ~ manned by a 
thoroughly trained motorman and a courteous conduc- 
tor, and run upon rails of heavy caliber laid upon ties 
resting on a roadbed of broken stones or concrete with 
self-acting switches at all necessary points. It must be 
equipped with overhead or under-running construction 
that will convey the current generated in a central sta- 
tion by the most modern and reliable apparatus, and ap- 
plied by car motors of power sufficient to move the heav- 
iest car, overloaded in rush hours, at 30 or 40 m.p.h. in 
all kinds of weather. The service must begin at an 
early hour, at least partially increasing according to the 
needs of the population, with an extra supply of cars 
when the traffic is heaviest, and continue at longer inter- 
vals all through the night, Sunday and Saturday alike. 

The average citizen has come to believe that this is 
the kind of service to which he is entitled, irrespective 
of distance or route and extending a long way into the 
suburbs, all for a 5- cent fare, including any necessary 
transfers, and that his children should be carried to and 
from school at reduced rates. He is also persuaded that 
the railway company should contribute to the revenue 
of the city an indefinite but substantial sum per annum 
for the privilege of serving the public in this way, and 
should be required to pave and maintain the street for 
several feet on each side of the tracks and keep the road- 
bed well spi'inkled with water in summer and clear of 
snow in winter. Moreover, it should be required to carry 
firemen, police and postmen in uniform free. 

Apart from the question of the fare, all of this is un- 

*The author of this article is the treasurer of an important 
company closely allied with the electric railway industry. For 
reasons of policy he prefers not to sign the article. — Eds. 



questionably what every enterprising city ought to have, 
if its own credit is to be maintained, its healthful expan- 
sion insured. It is absolutely essential if the city is to 
attract the best kind of citizens, especially mechanics. 

If in any particular this ideal rapid-transit system 
fails, certain consequences must inevitably follow. They 
will be made manifest in accidents, delays and loss of 
time to the patrons, excessive operating costs, conges- 
tion in population, tenements, slums and epidemics, and 
the loss of the best mechanics who will move to where 
these essentials to their comfort and convenience in 
traveling to and from their work can be found. 

Anyone who visited Toledo, Ohio, during the recent 
cessation of street railway service could readily see that 
automobiles, jitneys, cabs, carts and drays can never 
serve the reasonable requirements of the average city 
and that an electric system of propulsion with its flexi- 
bility and economy is the best so far as known or demon- 
strated. 

, Toronto Presents Some Interesting 

Situations 
Efforts have been made to attain something approach- 
ing the foregoing ideal system in a number of ways and 
notably through municipal ownership, as in Toronto, 
Canada. In that city the property was purchased from 
the original owners when a change from operation by 
horses was imminent, and it was then leased for thirty 
years to an operating corporation whose lease will ex- 
pire in about a year. Then the property will revert to 
the city upon payment of the value of the physical as- 
sets to be ascertained by a reference to valuators, less 
the value thereof at the inception of the lease, without 
anything being added for good-will or established busi- 
ness. It is quite safe to predict that the city will find 
it impossible to lease its railway property again upon 
any such terms as it did in 1890 and it is probable that 
municipal operation of the city property will be at- 



18 



Electric Railway Journal 



Vol. 55, No. 1 



tempted in the hope that something nearer the ideal 
service hereinbefore described may be attained. There 
will undoubtedly be an advantage in securing the prop- 
erty to begin with at a fair valuation and in the ability 
of the city to borrow the money to pay therefor, together 
with what further funds may be necessary for exten- 
sive enlargements and replacements, on long terms and 
at a lower rate of interest probably than the ordinary 
joint stock company would have to pay. A careful com- 
putation will undoubtedly be made to ascertain what the 
rate of fare must be to give the service required and pay 
the interest upon the debt, and an attempt will be made 
to continue the 5-cent rate at least for the first year. 
If it is found insufficient, it will be an easy matter to 
absorb the deficit by carrying it forward as a liability 
to be added to the taxes for the following year, and thus 
take it out of the citizens generally irrespective of 
whether they have used or not used the services provided 
and to what extent. 

New Capital Must Be Obtained 

The establishment of municipal ownership, with oper- 
ation by a corporation chartered for the purpose, under 
rigid restrictions and provisions as to the character of 
the service, would immediately bring up the question of 
what the fare would be and for how long. The city 
would be saddled with the burden of finding the money 
to acquire or establish the plant and such further funds 
as might be necessary to provide for extensions and re- 
placement of worn-out equipment. 

However just may have been the fixing of the 5-cent 
fare when the street railway was originally established 
or converted to electricity as the motive power, it is 
quite apparent to all who are now engaged in the indus- 
try and to those who have made a thoroughly impartial 
investigation into the cost of operation that it is no 
longer adequate. No one could foresee thirty, or even 
twenty years ago either the immensely improved quality 
of the service that would be demanded by the public or 
the tremendous increases in cost of operation through 
the enhanced cost of all the commodities necessary 
therefor, and the lessened efficiency and greater remu- 
neration of labor. Such was the lessened cost and im- 
provement in efficiency of the electric motive power 
when compared with the old horse and mule-driven vehi- 
cles that electrification practically cut the operating ex- 
penses in two. It was then very easy to attract capital 
for investment in the electric railway enterprises, but 
the situation is now entirely changed. Investors find 
their securities greatly impaired in value, in fact many 
are almost impossible of sale except at a great sacrifice 
and new money is unavailable. 

Under these circumstances it is necessary to add to 
the description of the ideal street railway system a pro- 
vision for a revision from time to time of the fare to be 
charged, so that it shall always be sufficient to pay not 
only the operating expenses but a fair return upon the 
money invested. Otherwise money will not fiow in this 
channel of investment. It appears to be difficult to con- 
vince the average citizen or the average municipal coun- 
cil that this is the true and unvarnished state of affairs. 
Until they are educated and convinced that the situa- 
tion is unquestionably as it is the loss to existing in- 
vestors must go on and increase, making this class of 
security more and more unpopular and inevitably post- 
poning its return to popularity. 

Moreover, every day that the enterprise is losing 
money, the condition of the property which should be 



operating in the interests of efficiency, economy and 
safety, is running down and the character of the service 
is being impaired through lack of timely expenditure on 
maintenance. Sooner or later this must be made up by 
the city in some way. When the unfortunate bondholder 
sees the money of the stockholder sunk in running an 
unprofitable enterprise he will naturally combine with 
his fellow bondholders to stop the leak by the appoint- 
ment of a receiver. He will not take kindly to the issue 
of receivers' certificates as a prior lien on the property, 
but will have it brought to sale at the earliest day pos- 
sible with all the loss and discredit to such securities as 
this implies. The main point to be emphasized here is 
that money must be attracted to the enterprise, for 
nothing can be done without it. To attract money the 
investment must be safe and remunerative. 

The uniform system of accounting in almost universal 
use can be relied upon to demonstrate what the expenses 
of running any given road will be, and the fare must be 
fixed a»c<'ordingly. Every banker, public and private, 
every investment banker and security salesman knows 
how futile it is to attempt to sell securities unless all the 
basic conditions of safety and the assurance of a reason- 
able return upon the money are present. The money al- 
ready invested in electrical securities has come chiefly 
from the savings of the small investor, the man or the 
widow living next door or very near you. If the confi- 
dence of this class is destroyed it will be difficult to re- 
store, and larger commissions and higher rates of inter- 
est will have to be paid to secure it. 

Much of the foregoing is elementary and purposely so 
because it is intended to be addressed through the elec- 
tric railway operator to the average citizen who makes 
use of the street cars. Make it clear to him that simply 
to stand fast and insist upon the ideal service, without 
proper remuneration for the railway, will soon make life 
a burden to him and a menace to his health and that of 
his family, and he will cheerfully consent to an appro- 
priate increase in fare. This has actually been done in 
several places with the happiest results. 



Canadian Association Elects Officers 

THE Canadian Electric Railways Association held 
its annual convention on Dec. 3 and 4 at Hotel 
Windsor, Montreal, Que. Colonel J. E. Hutcheson, the 
retiring president, was elected honorary president, and 
Acton Burrows, managing director Canadian Railway 
& Marine World, was elected honorary vice-president. 
The following active officers for the coming year were 
also elected; President, A. Gaboury, superintendent 
Montreal Tramways; vice-president, G. Gordon Gale, 
vice-president and general manager Hull Electric Com- 
pany; honorary secretary-treasurer, A. Eastman, vice- 
president and general manager Windsor, Essex &^ Lake 
Shore Rapid Railway, Kingsvale, Ont.; members of 
executive committee, George Kidd, general manager 
British Columbia Electric Company, Vancouver, B. C. ; 
A. W. McLimont, vice-president and general manager, 
Winnipeg Electric Railway, Winnipeg, Manitoba; M. 
W. Kirkwood, general manager Grand River Railway, 
Gait, Ont.; C. L. Wilson, assistant manager Toronto 
& York Radial Railway, Toronto, Ont.; F. D. Burpee, 
superintendent Ottawa Electric Railway, Ottawa, Que.; 
R. M. Reade, superintendent Quebec Light, Heat & 
Power Company; C. C. Curtis, manager, Cape Breton 
Electric Railway, Sydney, N. S.; and Colonel G. C. 
Royce, general manager, Toronto Suburban Railway. 



January 3, 1920 



Electric Railway Journal 



19 



A Forward Look in Public Relations 

By John W . Colton 

Executive Assistant The Connecticut Company, Netv Haven, Conn. 



The Author, Who Was Until Re- 
cently a Newspaper Man, Gives 
Some Suggestive Rules for 
Practicing Publicity 

LET every man in the electric rail- 
way industry ask himself this 
question: "Why have we had such 
a heck of a time getting by in these 
times when every other industry has 
filled its cash box and yelled for the 
janitor to sweep up the yellow-backs 
that have overflowed and cluttered up 
the floor?" 

Nine in every ten will answer, "We 
can't get a square deal from our masters 
and patrons, the public. We want 'a 
living wage' — income enough to enable us to pay our 
biUs and return a fair dividend to the stockholders, but 
darned if we can get it." 

And the nine who answer substantially as above go 
about with long faces, wrinkled brows and drooping 
nether lip, wishing "the good old days" were here again, 
and acting like jinxes out of a job. 

But the tenth man will look at the situation a 
little differently. 

"Sure, we've got all kinds of troubles," he will say, 
"but what of that? We're on our way out. We are 
showing the public that it needs us just as much as 
we need it. We are showing our employees that we 
can't pay them good wages if we do not take in 
enough money to meet our bills, and that they must 
help us. We are putting the situation up to the people — 
and the people as a whole are fair and will give us 
a square deal." 

The tenth man gets busy, and when, in a short time, 
his troubles diminish, the morale of his organization 
improves and his company's financial condition be- 
comes encouraging, the nine wonder "how he did it." 

There is nothing mysterious about this. Methods of 
bringing improvement about must differ in different 
localities, but the principles always are the same. 

The "Peptimist" Is Surely Needed These Days 

Some one recently said that men may be classified 
as: the pessimist, who says, "It can't be done"; the 
optimist, who says, "It can be done," and the pep- 
timist, who goes out and does it. 

The electric railway industry seems to be in great 
need of men who combine optimism and peptimism. 
There has been too much croaking, too much gloom, 
and not nearly enough stimulating optimism and action. 

Perhaps the Almighty knows why so many elec- 
tric railway executives fear to adopt out-in-the-open, 
straightforward methods in their dealings with the 
public, and particularly with the press, but the ordinary 
citizen does not. There has been an unreasoning fear 
of publicity, a horror of innovations and a distrust 
of modem methods that have been successful in many 
other lines of business. "Conservatism," which too 




John W. Colton 



He Summarizes the Plans of the 

Newly - Formed Committee of 

Publicity Men, Formed at 

Atlantic City 

often has been a synonym for unpro- 
gressiveness, has brought disaster to 
many a business that might have pros- 
pered if only those at the helm had 
steered a course that took advantage of 
favoring winds and currents instead of 
obstinately bucking the storms and 
hoping the craft might reach smoother 
waters before it was battered to pieces. 
All this is preliminary to a short 
discourse on the relations existing 
between the .public and the electric 
railways, what has been done to bring about improve- 
ment in these relations and what may easily be done 
in the future. Whatever is said herein is not in the 
spirit of criticism, but with the hope that electric rail- 
ways which have not yet studied the psychology of 
their situation may get busy and do something for their 
own good and incidentally for the good of the industry'. 
All will agree that the hearings held by the Federal 
Electric Railways Commission in Washington were of 
tremendous value in bringing before the people, in 
an official way, the present-day problems of the in- 
dustry. One hundred and fourteen witnesses testified 
to the fact that the industry is essential, and various 
remedies for its ailments were suggested. These hear- 
ings were fine — of course. But — suppose that the pub- 
lic had known nothing about them; suppose that the 
testimony had not been printed in the newspapers; 
suppose that there had been no editorial comment — of 
what value would they have been? If all the important 
testimony was merely taken dovvTi by the stenographer, 
read by the commissioners and us who are directly 
interested, well, the hearings in that case might as 
well have been held in an igloo in northern Greenland, 
for all the effect they could have had on the public 
mind. Instead, however, the Committee of One Hun- 
dred saw to it that the public was given the facts 
brought out in the hearings, and it is doubtful if any 
movement for the improvement of public relations was 
executed more effectively than this one. 

The Toledo and Lawrence Incidents Helped 
THE Industry 

Suppose that, when the electric cars were withdrawn 
from Toledo, no one knew anything about it except 
the people of that city, how much effect on the public 
mind as a whole would there have been? But instead 
the press of the entire country carried items every day 
describing the course of the dispute, and the editorial 
columns of the newspapers and magazines reflected verj' 
distinctly the great public interest that was taken in 
the foolishness of a city's action in barring an es- 
sential utility and then complaining because its orders 
were taken seriously. 



20 



Electric Railway JournAl 



Vol 55, No. 1 



Suppose that, when the street railway stopped in 
Lawrence because the jitneys were unregulated and 
were making it impossible for the railway to oper-ate 
without loss, only the people of Lawrence knew about 
it — how widespread and salutary would the effect have 
been? 

Say what one will, most people believe what they 
read, and therefore it is of the utmost importance 
that those who write what the people read shall be 
supplied with the facts. 

The industry cannot excuse itself from blame for 
unjust, unfavorable and antagonistic newspaper crit- 
icism if it declines to give information when it is 
asked. The individual or the corporation whose ster- 
eotyped answer to a newspaper, when asked for in- 
formation, is, "We have nothing to say," is not only 
leaving an opening for attack, but is cordially hated 
by the reporters v/ho ask the question; and their 
dislike is reflected again in the editorial attitude of the 
newspaper. 

Nothing arouses editorial ire more than aristocratic 
aloofness, for the newspaperman says to himself, "These 
railways run in the public streets, they are supported 
by the people, their managers are public servants — 
why should they seclude themselves and refuse to 
answer reasonable questions?" Of course he can find 
many to help him when he starts an attack. Fur- 
thermore, he can lay out a campaign against you that 
cannot be defeated except on the basis of fair, frank, 
direct statement by the corporation. It follows, auto- 
matically, that if the company's policy is fair, frank, 
direct statement, prejudice is removed in advance, sus- 
picion is disarmed and good-will is created. 

Facilities for Meeting the Reporter's Needs 
Must Be Provided 

Above all things, frankness, square dealing, accessi- 
bility, courage and common sense must dominate the 
policy of an electric railway executive in dealing with 
the press. A policy of seclusion, contempt for public 
opinion, side-stepping and berating the public can yield 
nothing but disaster and demoralization. 

But perhaps the executive does not have time or 
opportunity to get in touch with the press. Perhaps 
a reporter has been warming his heels outside his office 
door, waiting for a chance to ask questions which no 
other officer can answer, and knowing what his city 
editor is thinking, finally gives up and returns to his 
office to write some surmise and "dope" when he 
couldn't get facts. What then? The answer is simple — 
let the railway engage a man whose duties shall be 
to provide the newspapers with information and start 
to build up public good-will. 

"It can't be done?" 

Of course it can be done. It can't be done in a 
week, or a month, or a year, perhaps, but it certainly 
can be done, and is being done, but as a requisite of 
success the spirit of public service must permeate the 
organization. 

Of all electric railways in the country, serving bil- 
lions of car riders per annum, only a score or so make 
any definite attempt to create a spirit of good-will on 
the part of the public. 

Although they are merchandising transportation, the 
electric railways as a whole ignore the economic and 
psychologic laws that govern sales. They expect suc- 
cess, yet leave undone the very things which will bring 
it. If the average business man were as blind to 



modern methods as some electric railway executives and 
boards of directors are, the lists of failures in Dun's 
and Bradstreet's would be appalling. 

"Press Agents" Need Not Apply 

When a railway engages a man to handle engineer- 
ing problems it makes sure it has an engineer who 
understands the work he is hired to do. The railway 
should follow the same course in engaging a man to 
do its public relations work. The man for the place 
should be interested in the work not merely for the 
salary, but because of its vital importance to such a 
tremendous number of people, and preference should 
be given a man who has shovioi an inclination to study 
the situation and ascertain facts, whether these be 
to the credit of the industry or not. Too often a 
railway may consider a publicity man a sort of cure- 
all who will put it in good standing with the public 
regardless of the quality of service rendered. Such 
an idea is extremely fallacious. The publicity man 
should be the medium through which the railway speaks, 
and the sentiments he expresses can be no nobler than 
the purpose of the corporation engaging him, for the 
days of "bunk" are gone forever, and words must be 
backed up by deeds — by improvements in service, by 
meeting public criticism when it is of sufficient im- 
portance and, in general, by being absolutely on the level. 

Least of all does the industry need "press agents." 
The newspapers want news, not "bunk," and any city 
editor can instantly discern between news and that 
which is not news. A "press agent" of the old type 
may do as much harm as a man of sound principles 
may do good. And because newspapers are suspicious 
of propagandists, nothing but news ever should be 
offered them. The word "publicity" should be avoided, 
whenever possible, in dealings with the press. "Bureau 
of information" is more descriptive of the work such 
a man should do than "publicity department" is. How- 
ever, opinions may differ as to the title for the job 
or its incumbent. The work certainly should be done, 
and done by a properly qualified person. 

The New Publicity Men's Committee 
Deserves Support 

The men which far-seeing electric railways already 
have employed to help create better public relations 
are making an earnest effort to convince aU electric 
railways that they should profit by the experiences of 
companies that have found their work very successful. 

There has been recently created a committee of pub- 
licity men, members of the American Electric Railway 
Association, which is planning a very definite program 
to interest all companies in taking action to improve 
relations between the public and the railways. Leake 
Carraway, of the Virginia Railway & Power Company, 
is chairman of the committee, and associated with him 
on it are Luke Grant, Chicago Elevated Railways; W. 
Dwight Burroughs, United Railways & Electric Com- 
pany, Baltimore; A. D. B. Van Zandt, Detroit United 
Railway; W. P. Strandborg, Portland (Ore.) Railway, 
Light & Power Company ; E. R. Kelsey, Toledo Railway 
& Light Company, and the writer. 

The publicity men of the different companies realize 
that the problem before them is to interest all com- 
panies in sensible publicity. Activity toward the co- 
operation of publicity efforts in the past have not been 
entirely successful, but it seems now that the great good 
which has come of the publicity efforts of the Commit- 



Jannary 3, 1920 



Electric Railway Journal 



|3.(#V3 



21 



tee of One Hundred should have convinced every elec- 
tric railway man in the country of the possibilities of 
properly conducted information services, so that the 
prospects are brighter than they have been in the past. 

The American Electric Railway Association has be- 
gun the publication of a series of pamphlets on the 
publicity accomplishments of some of the companies 
that have found publicity effective in creating good- 
Tvill and improving morale. These pamphlets will be 
mailed to all executives who express the wish to receive 
them, and they should be well worth reading. 

Samples of the leaflets, advertisements, announce- 
ments, company publications, in fact all publicity matter 
put out by all companies, can be obtained from the 
association. The Committee of Publicity Men has ar- 
ranged for an exchange of 
the bulletins and publications 
the various companies issue 
from time to time, and surely 
among these there will be 
something that every co^m- 
pany will find valuable, and 
which it is hoped every com- 
pany will take advantage of. 

Without doubt the pub- 
licity given the hearings of 
the Federal Electric Rail- 
ways Commission was most 
helpful to the industry, and 
the Committee of One Hun- 
dred is to be congratulated 
on the widespread use which 
was made in the press of the 
matter the committee sent 
out. Every newspaper which 
has affiliations with the great 
press associations printed 

more or less of the testi- 

mony heard by the commis- 
sion, and nothing could so impress upon the public mind 
the essential nature of the industry and its serious pre- 
dicament as the testimony of men from so many walks 
of life. 

Supporting the newspaper publicity was the publica- 
tion of the daily bulletin during the progress of the 
hearings, giving the testimony in more or less detail. 
Many companies distributed hundreds of these daily 
bulletins through the mails to lists of citizens, and 
that these bulletins were very effective there can be 
no question. The Committee of One Hundred also 
published a booklet containing excerpts from testimony 
of the different witnesses and copies were in great 
demand. 

At the same time thousands of leaflets for public dis- 
tribution and posters to be placed in cars were dis- 
tributed to electric railways, each containing terse 
statements of fact, and many railways used this service 
to their own marked advantage. Every man in the 
industry has been benefited by the work of the Com- 
mittee of One Hundred, and there has been a very 
noticeable improvement in public relations in territory 
where this material was used. 

This work makes a fine start for the industry, but 
now that a start has been made it is of the utmost 
importance that the work should be continued. It is 
now up to the railways which have been helped to do 
something to help themselves. If the work is to be 
successful there must be continual reiteration of the 



Six Pertinent Points 
on Publicity- 
Point 1 — Tell your own enaployees your 
story, and win their co-operation by getting 
them to give the best service of which they 
are capable. 

Point 2 — Be absolutely frank with the 
public. 

Point 3 — Answer every question asked 
by the public. 

Point 4 — Never side-step a problem. 

Point 5 — Use every medium of publicity 
that local conditions may warrant. 

Point 6 — Keep everlastingly at it. 

J. W. COLTON. 



facts which the railways must impress upon the pub 
lie. To tell the story once is hardly sufficient — it must 
be told over and over until practically everybody under- 
stands the facts. To carry on such work need n-jt- 
be expensive. Small companies can do it as effectively 
as large ones. If there is any company in the country 
that does not know how to plan a program of publicity, 
the American Electric Railway Association will be very 
glad to tell it what has been done by other companies 
and obtain the assistance of other companies for those 
who wish to make a start in publicity. 

It must be borne in mind that the publicity problem of 
one company may be very different from that of an- 
other. What has been satisfactory in Connecticut might 
not do at all in another state, and what might do in the 

Middle West or in the South 
might not be effective in 
New England. But human 
nature is the same in all 
parts of the country and the 
principles of publicity can be 
applied generally, although 
the methods may have to 
vary and the appeal be put 
forth in varying forms. 

All advertising has value, 
but some forms are more 
valuable than others. Where 
there is a distinctly antagon- 
istic press it may be neces- 
sary to use billboards, to 
carry posters in cars, to use 
every available avenue of ap- 
proach to the public mind. 
Many companies are now 
publishing weekly or month- 
ly bulletins for free distri- 
bution among the car riders, 
and undoubtedly they have 
proved successful or the companies would not con- 
tinue to use them. On the other hand, there are many 
companies which as yet have not considered it neces- 
sary to distribute bulletins to the public. Other com- 
panies get out monthly publications for circulation 
among their employees, and so long as these are kept 
interesting they will be effective. A great many com- 
panies do not find them necessary, but they may be 
very necessary for other companies. 

The proper education of a company's employees is 
very important. Too many companies have neglected 
to inform their employees of the difficulties that beset 
them. The platform men are primarily interested in 
how much pay they are going to get. Among them 
there may be some who are indifferent, who may be 
careless in their handling of company property and 
who may be unnecessarily curt or gruff in their con- 
versation with passengers. The platform men come in 
direct contact with the public, and public opinion of 
the service may be formed by the impressions the 
employees make upon the car riders' minds. 

Because these are facts it is very important that 
every company should inform its emplo5'-ees that unless 
the company obtains sufficient income it cannot con- 
tinue to pay them good wages ; that the electric railway 
has nothing to sell except the service it offers the 
public; that the quality of this service determines the 
amount of income the company shall receive; that the 
company cannot be successful without- -tJie good-will of 



22 



\*%^ 4. I 



'Electric Railway Journal 



Vol. 55, ATo. I 



the public; that the communities cannot expect good 
service and continual improvement unless the people 
^jco-operate ; that the electric railway problem to-day is 
'.a problem for every community to take an interest in, 
and that the men on the cars have it in their power 
to make their companies more prosperous and thereby 
help to insure continued employment to themselves. 
Some companies have found campaigns along these lines 
very successful. Some conduct them through the 
monthly and weekly publications which have been 
mentioned, and others send bulletins to the homes of 
the employees, where not only the employees but their 
families also have an opportunity to see the employer's 
side of the problem. 

One Case Where Newspaper Advertising Paid 

Paid newspaper advertising should be used whenever 
necessary. Opinions may differ as to whether such ad- 
vertising should be continuous or sporadic. When 
radical changes in service are made, such as the intro- 
duction of safety cars, the introduction of a new system 
of fare collection, material changes in schedules, etc., 
newspaper advertising space most certainly should be 
used, because the majority of people depend on the 
newspapers for information on current affairs. All 
newspapers consider anything that has to do with the 
electric railways as legitimate news, and are usually 
glad to print any news statements given out by them, 
but these news statements should be backed up with 
paid advertising. 

The Connecticut Company found paid advertising 
valuable in connection with the establishment of the 
zone system on its property. It used large space to 
instruct the public about the revolutionary changes in 
the car riders' customs which the new system made 
necessary. This advertising, together with news articles 
and the posters which it used in the cars and in fac- 
tories, contributed greatly toward making it possible 
for the company to announce that the zone system 
was an "unqualified success" within ten days after it 
had been established. 

The character of the population served also has an 
influence on the kind of publicity to be used. Some- 
times there is a large foreign element using the cars 
whose knowledge of English is so scanty that ordinary 
publicity is not efl^ective. In such instances it is neces- 
sary to put before the car riders, in their own language, 
the facts which the company wishes to set forth. In 
connection with its zone system the Connecticut Com- 
pany was obliged to put its announcements in Swedish, 
Italian, Polish, Hungarian and Russian as well as in 
English, and to use the foreign-language press. 

There is nothing mysterious about publicity and 
advertising in connection with electric railways. They 
are merely the application of a well-known business 
principle, that if a concern is to be successful it must 
tell the people what it has to sell and exploit the ad- 
vantages of its goods. If competition becomes keen it 
must be met. If competition is unfair the electric 
railway must tell the public that burdensome condi- 
tions cannot continue indefinitely and that in time the 
public will face serious curtailment of service unless 
the unfair com.petition is removed. The crisis brought 
about in Massachusetts through unfair jitney competi- 
tion is an illustration of the point. There the people 
were told by the railway that there was not room in 
the streets for the electric railway and the jitney, 
and when the city authorities of Lawrence realized 



that the company meant what it said when it declared 
that service would stop if the City Council did not take 
action to curb the jitneys, prompt action was taken 
to preserve electric railway service to the people. There 
the company let the public know just what its predica- 
ment was, and its appeal to the common sense of the 
citizens was effective. 

Where newspaper advertising may not be considered 
advantageous the electric railway usually has the op- 
portunity of presenting its case to the people through 
meetings of Chambers of Commerce, Rotary Clubs, 
community forums and similar organizations, and 
whenever this is done the newspapers should be pro- 
vided with abstracts or manuscript containing the facts 
presented by the company. 

There is no branch of advertising that is not of some 
value to electric railway. How these branches shall 
be used depends entirely on the problems confronted 
by each railway. But if the companies are to win 
the public's good-will they must use some of these 
forms, and if they are to be effective they must be 
used intelligently.- To use them intelligently makes 
necessary the employment of some one who knows how 
to use them. It is very easy to waste much money in 
publicity, and it is just as easy to make money through 
the creation of a favorable public spirit by the use 
of publicity. It all depends on the policy of the company 
and the manner in which the policy is carried out. In 
this phase of publicity as well as the others certain 
rules are practically inviolable if success is to be 
secured. These rules, set dovra in tabular form, appear 
on page 21. 

Some Lessons from the Successful Merchant 

The electric railway industry might well bear in 
mind the salesmanship idea in planning its compaigns 
to win good-will. First of all, what have we to sell? 
In what kind of packages do we offer it to the public? 
How convenient are our schedules? How much effort 
do we make to meet the wishes of our patrons? What 
consideration do we give to their complaints? What 
competition must we meet? How have we been affected 
by the increased costs of labor, equipment and sup- 
plies? What must we have to give good service in the 
future? What are we doing, anyway? 

The merchant, when he builds an addition to his 
store, advertises the fact. When we add new cars, in- 
crease our power capacity or otherwise improve our 
facilities, we should tell the public about it. When 
we put on better schedules, or adopt economies to im- 
prove service, we should by all means tell about the 
changes. The public is not unappreeiative, if we meet 
it half way. 

When demagogues tear the air, is it good policy to 
keep still? Does any individual or any corporation 
retain respect by submitting indefinitely to unjust at- 
tack? Many think not. When a defendant in a court 
action refuses to take the stand in his own behalf, 
usually there is a feeling that his cause is not a good 
one. Can the electric railway industry afford to en- 
courage any such feeling toward itself? 

"Learn the Truth" is a good slogan, and the electric 
railways owe it to themselves to see that the truth 
is spread broadcast. 

One of the most unjust and most serious forms of 
attack is the comparison of conditions in one city to 
those in another, where franchise and other conditions 
are entirely different. Cleveland is pointed to by news- 



January 3, 1920 



Electric Railway Journal 



23 



papers in all parts of the country as the city where 
low fares are producing profits, but it is seldom that 
railways explain the features of the Tayler grant that 
make low fares possible. Philadelphia lately has been 
pointed to by many newspapers that have not been told 
about the 3-cent exchanges that prevail in the Quaker 
City. These and similar matters are proper for dis- 
cussion at meetings of Boards of Trade and similar 
organizations, and the railways should see to it that 
the truth about them is reiterated. "You can't blame 



a fellow for what he doesn't know if he has had no 
opportunity to get an education." 

But, above all things, let's stop weeping. Everybody 
hates a cry-baby; sooner or later he wants to wring its 
neck to stop its noise. Fight, if we must, for all we 
are worth, but let's grin while we fight. We should 
and must be happy warriors, fighting only for our just 
due, and determined to win by fair, hard, vigorous, 
sensible, invincible campaigns of truth. We can find 
no weapon more effective than printers' ink. 



Franchise Developments in 1919 

Considerable Progress Was Made During the Past Year in Service-at-Cost Franchises, 

Although Two Plans of This Kind, at Denver and Minneapolis, 

Were Rejected at the Polls 



THE serious financial crisis faced by electric rail- 
ways during the past year brought the service- 
at-cost type of franchise to the fore as one means 
of escaping impending disaster. While it is true the re- 
sults of operation under grants of this character were 
not entirely satisfactory, the fundamental justice of pro- 
viding a basis for meeting unusual expenses appealed to 
students of the railway problems, and the utility man- 
agement and public authorities in many cities gave 
thoughtful consideration to the merits of those ordi- 
nances which had been subjected to actual test. 

Reporting at the mid-year meeting of the American 
Electric Railway Association, the committee on read- 
justment declared there were only two possible ways out 
of the present financial embarrassments for electric 
railways — one of these being some sort of service-at- 
cost plan and the other the adoption of municipal or 
government ownership. In line with the recommenda- 
tions of that committee, papers were read at the Atlantic 
City convention of the Association showing the results 
of operation under service-at-cost in three cities. 

Other developments in franchises during the year were 
the following: 

New form of service-at-cost plan became effective in 

Youngstown, Ohio, Jan. 16, 1919. 
Amendment to Cleveland Railway franchise passed 
April 7, 1919, extending the grant for an addi- 
tional period of ten years. 
Adoption of other settlements of this character 
under consideration in Detroit, Toledo and St. 
Paul, while two other types of grant were re- 
jected by the voters of Denver and of Minne- 
apolis. 
The franchise situation is still unsettled in Chicago, 
Philadelphia and St. Louis. The Dallas, Texas, com- 
pany has not had an entirely happy experience with its 
service-at-cost arrangement, a recent report having 
shoviTi that the utility corporation failed to earn the 7 
per cent return allowed under the ordinance. The Des 
Moines and Kansas City properties also have been beset 
with difl[iculties, although operating under modern types 
of ordinances. In Chicago, no progress has been made 
since a service-at-cost plan was rejected by the voters 
in 1918. The mayor of that city has offered a sub- 
stitute plan, which he calls "people's ownership," based 
on a 5-cent fare, the details of which are now being 
worked out for submission to the city council, the state 



legislature and the public. Since the failure of the 
Pennsylvania commission to approve the Philadelphia 
settlement plan no definite progress has been reported 
from that city. Another form of service-at-cost was put 
into effect during the year in Massachusetts, where the 
Bay State company, having been reorganized under the 
name of the Eastern Massachusetts Street Railway com- 
pany, was placed under control of public trustees. 

In the annual Statistical Number of the ELECTRIC 
Railway Journal for 1919 a scholarly analysis of 
developments under service-at-cost franchises up to that 
time was presented by L. R. Nash of Stone & Webster. 
A statement of advantages under service-at-cost was 
also set forth in a paper by H. C. Clark, abstracted in 
the issue of June 21, page 1219. The three papers pre- 
sented at the Atlantic City Convention, telling of results 
under such franchises in Cincinnati, Youngstown and 
Montreal, were abstracted in the Report Number of 
Oct. 11, page 18. 

Terms of the Youngstown Franchise 

To bring the situation up to date, it should be of in- 
terest to consider developments in Youngstown, Ohio, 
where the company has been operating since last Janu- 
ary under a franchise modeled largely after the so-called 
Tayler grant. The valuation of the property, for pur- 
poses of the ordinance, was fixed at $4,000,000, on which 
the company was allowed a 7 per cent return, to be paid 
from, the stabilizing fund. New capital expenditures are 
permitted a return based on the actual cost of obtaining 
the money. Had such provision been made in the Taj^ler 
plan there would have been no need for requesting a 
higher guaranteed rate in Cleveland, where the matter 
has been the subject of arbitration during recent 
months. 

Under the Youngstown plan a street railroad com- 
missioner has supervision over service, accounting, ad- 
ditions and betterments. A stabilizing fund was created 
by setting aside $100,000 from the agreed capital, cred- 
ited monthly with interest earnings and the net receipts 
of the company. The ordinance allows for operating 
costs 22 cents per car mile, with 60 per cent of this 
amount for trailer cars; and for maintenance, repair 
and renewal costs 8 cents per car mile, with a 40 per 
cent reduction for trailers. Either allowance may be 
increased or decreased by agreement or arbitration. 

A sliding scale of fares was provided for, nine rates 



24 



Electric Railway Journal 



Vol 55, No. 1 



in all, witj» more possible, and a 1 cent charge for trans- 
fers under each rate. The initial rate was 5 cents cash 
and X cent for a transfer. The barometer established 
thx<n^ the stabilizing fund goon showed the necessity 
for higher revenues, and by the Beveral stages the rate 
has now reached 7 cents plus a 1 cent transfer charge. 
As pointed out by the president of the company recently, 
another rate provision of importance is that the city 
and the company may at any time agree on any fare, 
regardless of the prescribed order in the schedule, 
thus permitting of the prompt meeting of an extra- 
ordinary situation. 

Under another section of this ordinance either the 
company or the city may propose extensions or better- 
ments, but the city loses this right when the unexpired 
term of the franchise is less than fifteen years. In that 
event also the company has the right to set up an 
amortization fund during the balance of the life of the 
grant for the entire value of the property. The impor- 
tance of this as a safeguard may be appreciated by com- 
parison with other types of franchises where, upon the 
expiration of the grant, the company's investment is left 
unprotected. 

The city's right to purchase may be exercised at any 
time during the life of the franchise upon six months' 
written notice, or at the termination of the grant. In 
the former event a 10 per cent premium is to be paid. 

Changes in the Cleveland Franchise 

Renewal of the Cleveland franchise last April was 
necessitated by the terms of the contract, which pro- 
vided that whenever the grant or any extension thereof 
had less than fifteen years to run the company would 
have the right to collect the maximum rate of fare 
mentioned in Section 22 and to operate under its 
own policies for the remainder of the term. After the 
long negotiation, therefore, the revision was completed 
and the term has been extended to May 1, 1944. Among 
the important amendments were the following : Car mile 
allowance for interest fund was increased from Hi to 
19J cents. Car mile allowance for maintenance fund was 
increased 1 cent per car mile. New schedule for sliding 
rates of fare was incorporated, raising the maximum 
to 6 cents cash, 9 tickets for 50 cents, 1 cent for trans- 
fer and no rebate. The rate in force at the time this 
article is being written is 5 cents cash, 11 tickets for 50 
cents, 1 cent for transfer and no rebate. 

Terms of the Rejected Minneapolis Franchise 
For completeness a reference will be made here to 
the Minneapolis service-at-cost ordinance, although it 
was rejected by the voters at a referendum taken on 
Dec. 9. The franchise permitted the Minneapolis Street 
Railway company to operate under a service-at-cost 
plan for a period of twenty-five years after Jan. 1, 1920. 
The agreed valuation of the property was fixed at 
$24,000,000, upon which the company was to be allowed 
to earn a maximum of 7 per cent, if it could, after pay- 
ing all expenses and public charges. New money was to 
receive a rate of interest to be fixed by the city council, 
but inasmuch as the company was to have increased 
responsibilities and the greatly increased hazard of the 
original investment, the plan provided that the com- 
pany would receive 1 per cent upon the total of the new 
securities as compensation. Neither the 1 per cent nor 
the 7 per cent was guaranteed, and therein lay, it v/as 
thought, an incentive to efficiency and economy of man- 
agement. 



Under the franchise the city council would have re- 
tained control over the business, and the office of street 
railway supervisor was provided for. The company 
was not relieved of any of the usual public charges, 
such as paving, etc. The city was authorized to take 
over the property upon giving one year's notice or it 
might have designated a purchaser. 

An unusual feature of the ordinance was that pro- 
viding for collective bargaining, the best possible work- 
ing conditions and a limitation upon the amount of 
time which employees could be required to work, and 
also providing for the submission of disputed questions 
to arbitration. Automatic adjustment of fares was as- 
sured. The initial rate for the first three months was 
to have been 5 cents. Any deficit was to have been 
drawn from the stabilizing fund of $250,000 and suc- 
cessive increases or decreases at the rate of 1 cent 
were to have been determined every three months. If 
fares went above 5 cents, tickets or tokens were to have 
been sold at a discount of 10 per cent. 

The Situation at Denver 

In Denver the car riders have had a series of up and 
down experiences with changing rates of fare. Hope 
of stabilizing conditions through a new fare settlement 
plan was frustrated by the vote of the people, who on 
Oct. 22 defeated a service-at-cost grant and a so-called 
elastic 6-cent fare measure. The service-at-cost plan 
would have created a board of tramway control, two 
members appointed by the city and one by the com- 
pany, with wide powers over expenditures and service. 
This plan would have eliminated some expenditures 
which do not benefit the car riders. The proposed or- 
dinance also provided for a "fare control fund" of 
$300,000; a limit of returns on the fair value of the 
property ranging from 5^ to 7 per cent; depreciation 
and renewal funds. The initial rate of fare would have 
been 6 cents and by putting into effect a lower rate the 
company would have been allowed an additional earning 
of from i to 1 per cent. 

The "elastic 6-cent fare plan" also offered an initial 
rate of 6 cents with free transfers. This rate was con- 
ditioned on the existing 48-cent maximum wage scale 
for trainmen, and fares would go up or down as the 
wage schedule varied. A board of control would have 
had charge of this arrangement, and the wage scale 
was to have been no greater than the average for St. 
Louis, Omaha, Kansas City, Minneapolis and St. Paul. 

The Mayor's Plan for Chicago 

A "cure for all traction difficulties" has been offered 
to the people of Chicago by Mayor Thompson, who in- 
sists that he can provide service at a rate of fare not 
exceeding 5 cents. He has been provided with a fund 
of $250,000 by the city council to make a study of con- 
ditions and offer a completed plan within nine months. 
The mayor's plan would create with the help of State 
legislation, a district to be known as "The Transporta- 
tion District of Chicago," whose bonds could be issued 
to take over the existing traction lines. Service would 
be regulated by five trustees who, according to the plan, 
will be elected by the people. 

Franchise developments in Detroit, Toledo and St. 
Paul are so recent as to need no further discussion 
here. Politics seems to have been the stumbling block 
in the path of settlement in each of these cities, but 
negotiations are proceeding in spite of all opposition. 



January 3, 1920 



Electric Railway Journal 



25 



Are Street Railways a Real Public Utility? 

By General Guy E. Tripp 

Chairman Board of Directors, Westinghouse Electric & Manufacturing Company 



The Efforts of the Committee of 
One Hundred to Present the Rail- 
ways' Case at Washington Are 
Described and Several Local 
Situations Are Mentioned 

THE subject upon which you have 
asked me to address you is, with- 
out doubt, a depressing one to a 
gathering of men with financial respon- 
sibilities, because such men can have 
no pleasure in contemplating the depre- 
ciation of property. That the values of 
electric railway securities have depre- 
ciated, and depreciated to a greater 
extent than any other public utility, is 
a matter of common knowledge. Amer- 
ican life insurance companies have invested millions 
of their policyholders' money in these enterprises, and 
they undoubtedly find added to their natural regret 
for money losses a sense of their responsibilities as 
trustees. 

A trustee's first thought, upon being confronted 
with such a situation, has to do with the degree of 
judgment exercised when the investment was made, 
both as to the soundness of it and the amount of it 
relative to his total capital. 

In this case the amount is considerable. Twenty-six 
American life insurance companies with assets of 
$5,262,818,894, equal to over 78 per cent of the assets 
• of all American life insurance companies, have invested 
in public service securities $237,346,223, of which 
$116,592,670 represents street and interurban railroad 
investments. If it is assumed that the remaining 22 
per cent of the assets of the companies carries the 
same proportion of investment, then the amount of 
policyholders' money invested in street and interurban 
railroad securities is $160,000,000. 

With respect to the judgment used in making this 
investment the facts are all favorable. From the begin- 
ning to the present time street railroads have had 
all the fundamentals of a sound investment. They 
furnish now and always have furnished an indispensable 
service to our urban population. 

The very existence of modern community life depends 
upon this form of transportation and, after water and 
sewerage, it is the most important public utility. 
Without means of transportation there could be no 
great department stores, no great institutions of any 
character which require a daily concentration of a 
large number of employees and customers. 

In short, if our urban communities have made for 
the wealth, comfort and culture of this country, then 
an investment in street railway transportation is in 
one of the cornerstones of the structure, and if the 
investment is in danger, it is not because of poor 
financial judgment. 




Gen. Guy E. Tripp 



'Abstract of an address delivered at the thirteenth annual 
meeting of the Association of Life Insurance Presidents. New 
York, Dec. 5, 1919. 



The Interest of Life Insurance Com- 
panies Is Shown by the Fact That 
Twenty-Six Have Invested More 
Than $116,592,000 in Electric 
Railway Properties 

When I say that the electric railways 
are indispensable, I have intimated that, 
such being the case, the investment in 
them should be regarded as one entitled 
to all the protection which the law gives 
to all property; but the question is 
nevertheless still open for the discus- 
sion of its relations to the public in all 
its phases, which furnishes a field for 

the exploitation of fanciful social 

theories and tainted politics, all of 
which cannot fail to react upon values. 

But this is not all nor perhaps the most important 
feature of the processes of readjustment which are 
now going on in the affairs of these transportation 
utilities. The capacity of the people of the United 
States to deal with the complex problems presented by 
our modern economic structure is being put to the test, 
and upon the way in which this particular question of 
electric railways is decided will depend, in a large 
measure, the treatment that will be accorded to all 
industry and to all business. 

I am the chairman of a committee of one hundred 
representatives of electric railways, bankers, manufac- 
turers and others interested in electric railways, 
appointed by the American Electric Railway Association 
to act as the spokesman of the industry in the investi- 
gation conducted by the Federal Electric Railways 
Commission. 

This commission was appointed by the President to 
study the electric railway situation and to present to 
him its recommendations for the cure of a situation 
which he, on the advice of his Secretaries of Commerce 
and Labor, considers to be of national concern. 

The Situation Analyzed 

To qualify itself to act for the industry, it became 
necessary for this committee to determine for itself 
the basic facts of the situation and to determine at the 
same time the principles which should govern in the 
correction of a condition that threatened disaster all 
round. We felt that we must first establish the essen- 
tiality of the industry — whether or not it had survived 
its usefulness, whether it was to be superseded by some 
other means of transportation, more efficient, cheaper 
and convenient. We decided on this point that the 
industry is essential — that there is not now nor can 
there be expected in the calculable future any form of 
local transportation which can furnish a complete 
sj'^stem of transportation to urban communities that 
is not predicated upon the use of traclis in the public 
streets, on elevated structures or in subways. This 
belief has subsequently been borne out by the 114 
different witnesses of all shades of opinion who testified 



26 



Electric Railway Journal 



Vol. 55, No. 1 



before the Federal Commission, not one of whom 
(although they differed widely on other points) sug- 
gested that transportation on rails could be supplanted 
profitably. 

It was our next business to determine — because we 
were in the case as representatives of private enter- 
prise — whether or not private enterprise should be 
v/ithdrawn from the business, and, in the interest of 
both efficiency and economy, the function of providing 
transportation be performed directly by the community. 
Our determination upon this point was, that however 
good or however bad the theory of public ovvniership 
might be, a consideration of it in connection with the 
present situation must be entirely academic, because 
in the vast majority of cases it is impossible, both 
because of legal and financial obstacles in the way of 
its application, and because the public mind has not yet 
been made up upon its merits and it is unlikely to be 
made up within any reasonable time. 

It was, then, evident to our committee that to save it 
from collapse in which the public interest would also 
suffer, the use of private capital and private enterprise 
in this public utility industry must be continued. Our 
further duty then, was to determine upon what terms 
private capital and private enterprise could be attracted 
at the least cost to the public. I say "attracted" ad- 
visedly, because a continuous flow of new capital into 
public utilities is essential, if they are to perform their 
functions properly, provide service and care for the 
expansion, progress and growth of communities. 

At the present time the credit of the electric railways 
is nonexistent. The reason is apparent. More than a 
sixth of the total electric railway mileage of the coun- 
try is in the hands of receivers. A very large addi- 
tional number of companies are on the verge of bank- 
ruptcy, some of them kept from this fate only by the 
financial strength of the much criticised "holding" com- 
panies. The prosperous electric railways of the United 
States, if there be such, are so few as to be negligible. 
Alone of the important industries of the nation, the 
electric railway industry nearly suffered annihilation 
through conditions caused by the war, and back of all 
these facts is the further and by all means the most 
important fact that Mie industry, by reason of restric- 
tions in statute law, in ordinances and in franchises, is 
unable to take measures to save itself from the fate 
v/hich events show to be imminent. 

The restoration of credit is fundamental to the con- 
tinuance of private capital and private enterprise in 
the public service, and the main task that confronts the 
country, in so far as electric railways are concerned, 
is the restoration and the future preservation of that 
credit. 

Development Came from Individual Initiative 

Certainly it cannot be done upon any such basis of 
relationship between the public and utilities as has ex- 
isted in the past. Under present conditions such a basis 
is no longer desirable or possible. That it ever existed 
is the fault of no one, and, in so far as it permitted 
that wide range of individual initiative, or individual 
enterprise and of individual genius, it is not to be de- 
plored, since it gave to this country a system of local 
transportation, which in extent, in character, in the 
convenience afforded, and in the opportunity for com- 
munity expansion and community progress presented, is 
equalled nowhere in the world. And in this connection 
it should not be forgotten that it is not to the exercise 



of governmental foresight or governmental enterprise 
that we owe the present highly developed transportation 
system of this country. Much of the development has 
come in spite of public opposition ; very little of it has 
come with governmental co-operation. It has sprung 
into existence because the individual has been given 
wide latitude in the exercise of those qualities in which 
the business men of America excel, and because the 
hope of substantial reward was possible under a system 
which provided that if the individual took the risk, he 
should also be permitted the profit. 

That original conception has not, however, prevailed 
for a number of years. Through the operation of the 
theory of regulation as applied to public utilities, it has 
so changed that while the individual still took the risk, 
he was denied his profit, and it is this thing that has 
destroyed the credit of the railways. 

How New Capital Can Be Attracted 

Now the question of whether new capital can be 
attracted to local transportation utilities is not to be 
solved by enactments of legislatures or the ordinances 
of city councils, or the pronouncements of commissions 
or committees. Its solution is in the hands of the man 
who has the capital to invest, and the risk that inves- 
tors will take is in direct ratio to the profits which they 
hope to reap. 

Consequently, the business of the public, seeking new 
capital at low cost, is to eliminate from the enterprise 
as many elements of risk as is possible. Now, we be- 
lieve that the successful conduct of a public utility re- 
quires not only capital in continuing supply, but that 
it also requires the vigilance, foresight and initiative 
that accompany the investment of capital in strictly 
private enterprise; in other words, that the mere loan- 
ing of money to the communities for public utility pur- 
poses is not sufficient; that with the money must go 
the same business and executive and administrative at- 
tributes that bring success to private business. These 
are rare qualities, rarer than the average man realizes, 
and they are entitled to reward. The problem, there- 
fore, is to attract into the public service not only pri- 
vate capital, but private enterprise, at the least cost and 
with the best results to the public. 

We believe that there are certain well-defined prin- 
ciples that must underlie any detailed plan for accom- 
plishing this purpose. The first of these is that integ- 
rity of investment must be protected; that the investor 
has the right to demand and will expect that the integ- 
rity of his investment shall be protected, by which we 
mean that at the expiration of the period of its use by 
the public, it shall be given back to him undiminished. 
This means that the legal authority under which the 
public utility shall operate shall so provide, and at once 
we reach the question of the franchise, permit, agree- 
ment, or statute law under which the operation of the 
utility is undertaken. 

If such legal authority be for a fixed period, it is 
evident that the integrity of the property can be assured 
only if there be provision for the amortization during 
the life of the authority of the difference between the 
actual investment and the estimated scrap value of the 
property at the end of the term. For anything but a 
very long term authority, this means a rate of fare so 
high as to discourage riding, and by so doing operate 
against the interest of both the car rider and the com- 
pany itself — in other words, more than the traffic will 
bear. 



January 3, 1920 



Electric Railway Journal 



27 



The other alternative is the so-called "indeterminate" 
permit, which provides authority to conduct business 
until such time as the community may decide to take 
over the property of the company at any agreed upon 
value, or grant to another company or to another in- 
dividual the right so to take over the property. This 
fully protects the integrity of the investment and at 
the same time protects the interest of the community, 
since it makes provision for ousting a derelict performer 
in the only two ways which insure a continuance of 
the service. 

The second of the principles is that there should be 
an assurance of return upon the investment. The basis 
of such assurance must be provision by which the price 
of the com.modity furnished, i.e., transportation, can be 
quickly and automatically adjusted to its cost, or the 
direct guarantee of the communities that the return 
will be forthcoming. 

Upon the degree to v^^hich both the assurance of in- 
tegrity and the assurance of return are provided in the 
relations between electric railway companies and the 
communities, will depend the cost of the capital re- 
quired. 

Moreover, there should be provided in the return, and 
regulated by the degree of efficiency and managerial 
ability shown, a reward for these qualities, in order 
that there may be present in the private conduct of a 
public enterprise, the initiative and economy which will 
always depend upon the hope of reward. 

These we believe to be the basic principles involved 
in the restoration of credit. From them, we are con- 
vinced, may be built a practicable, workable plan for the 
government of relations between the utilities and the 
communities, which will inspire the best effort of the 
operators and enlist the co-operation of the communi- 
ties in assisting in the work of providing good and ade- 
quate service. 

The same principles we believe should govern the 
treatment of capital already invested in the public ser- 
vice. To bring it into step with the future capital in- 
vestment it is necessary to ascertain, if that be possible, 
the money which private individuals have furnished for 
the enterprise; or if that, by reason of imperfect rec- 
ords, is impossible, to have fixed by courts, or commis- 
sions, or by agreement, the value of the property. When 
the investment or the value is so fixed, then the capital 
already invested should not be differentiated from that 
which it is expected to secure in the future. 

No New Principles are Involved 

There is nothing new in the principles which I have 
here enunciated. They are merely those which underlie 
commerce and business in general, and the fact that it 
is necessary to impress their application to the electric 
railway industry upon the public, the operators and the 
regulating authorities, is an indication of the distance 
we have strayed from well known economic laws in the 
conduct of our public utilities. It is surprising the 
extent to which economic law has been disregarded and 
overlooked in the attempt to control and regulate public 
utilities. It is surprising that intelligent men should 
have been willing to enter into long term contracts to 
furnish a commodity at a fixed price, in disregard of 
future conditions as to cost and in disregard of future 
conditions as to the character of the commodity. It is 
surprising that lawmakers should have considered that 
it was possible to pass inflexible regulations governing 
the price of a commodity when the price plainly de- 



pended upon the cost to produce it, or that they should 
have conceived it to be possible to regulate its cost or 
its price. And yet that was precisely what was done in 
the case of franchise agreements and grants, in the case 
of much street railway legislation, and in the laws cre- 
ating many public service commissions. 

It was primarily due to the belief on the part of rail- 
way men and the public alike that the local transporta- 
tion business was a very profitable business and to the 
lack of exact knowledge as to the real cost of furnishing 
the commodity. From these two misconceptions have 
groMTi most of the troubles of the industry. They have 
led to the system of bargaining which has saddled the 
companies with burdens in the way of restrictions, taxes 
and imposts which they are today unable to bear, to the 
willingness of companies to accept franchises imposing 
fare limitations, to the power given to the commissions 
to compel the making of extensions and the expansion of 
service, and last but most important, to the public atti- 
tude of distrust towards the companies. 

The industry is now finding itself. It knows now, as 
it has never known before, the limitation of its re- 
sources. It is realizing that its ability to furnish ser- 
vice is limited by its ability to collect revenue therefor, 
and it is learning how to ascertain the true cost of the 
service when the cost of maintaining the integrity of 
the investment is included. 

It is this relation of price to cost that is the most im- 
portant consideration in the solution of the problem. It 
is a relation that must be understood by the public as 
well as the companies, and until it is understood, there 
can be no satisfactory settlement, no matter what laws 
may be passed or agreements entered into. 

And so, having established the fundamentals upon 
which a settlement must be based, it is necessary that 
there should be agreement between the two parties at 
issue, as to the object towards which this partnership 
for common good should strive. I believe that it has 
been well stated in the so-called Tayler grant under 
which the Cleveland Railway is being operated. There 
it says that the object of the grant is to "secure the best 
possible service at the lowest possible cost." 

If this be true, then having provided terms under 
which the necessary continuing supply of private capital 
may be attracted into the business and the private in- 
itiative and enterprise secured, the attention of every 
one concerned can be devoted without reserve to the 
agreed upon object. Immediately there arises the ques- 
tion affecting the basis upon which fares shall be 
charged, whether a flat rate shall be installed, or a zone 
or distance tariff system put into effect; the removal 
of the taxes and imposts which are a charge against 
the car rider and not against the private owners ; the 
question of subsidizing the service in order to main- 
tain low rates of fare; the employment of operating 
economies now so frequently prevented by the hostile 
attitude of communities; the restriction of the unfair 
competition of jitneys, which without the power to sup- 
ply the entire service furnished by electric railways, 
exist on the cream of the business; the co-operation of 
public authorities in providing traffic regulations so 
that the progress of the cars through the streets shal' 
be unimpeded; the use of new capital for the installa- 
tion of improved apparatus and equipment which cut 
down cost, and many other methods of improving and 
cheapening the service and more equitably distributing 
its cost. 

Many of these are not now possible, first, because the 



28 



Electric Railway Journal 



Vol. 55, No. 1 



credit of the companies being gone, it is impossible to 
secure the capital necessary to put them into effect ; and 
second, because the spirit of antagonism against the 
companies is such that every move towards decreasing 
the cost of service is bitterly opposed. 

Instances of Service at Cost 

I have given you in a very general way the principles 
which T believe should govern the readjustment of the 
relations between electric railways and communities. I 
shall not attempt to translate them into detailed plans 
of settlement. I believe that the intelligence and good 
sense of the owners of these properties and of the pub- 
lic authorities with w^hom they must negotiate is suf- 
ficient to enable them to get together in agreement upon 
a plan. The way has already been blazed. The street 
railway systems of Cleveland, of Cincinnati, of Youngs- 
tov^Ti, of Boston, of eastern Massachusetts in this coun- 
try, and of Montreal in Canada, are now being operated 
under agreements which embody in general the prin- 
ciples to which we subscribe. None of these agreements 
is entirely perfect. None of them has been in effect 
for any considerable length of time. All of them have 
developed defects and it is interesting to note that these 
defects have come when there has been a departure from 
the principles noted. And in spite of the defects, the 
companies in the cities in whicti cost-of-service agree- 
ments obtain, are today being conducted with greater 
satisfaction to both the public and the investors than 
those in other cities. This is notably true in Cleveland, 
which because of its flexible fare was enabled to 
vi^eather the storm caused by the war with less ill effect 
upon company and the riding public than almost any 
city in the United States. 

Secretary of War Baker, who, as city attorney of 
Cleveland, and later as its Mayor, has a very thorough 
knowledge of traction conditions and a very complete 
understanding of the principles of service at cost, was 
one of the most interesting witnesses before the Federal 
Commission, and I was particularly struck with what 
he had to say as to the possibility of reconciling the ap- 
parently conflicting claims of the companies and of the 
car rider. Asked as to the method to be pursued in ar- 
riving at an agreement, he said: 

Get the council and the board of directors in the same 
room with all the facts and all the figures, and let every- 
body in the community understand what they are. I believe 
that any community in America will pay cheerfully and 
willingly whatever rate of fare is necessary to maintain 
good service in their communities, if they are sure they are 
only paying proper operating expenses, proper maintenance 
and a proper return on capital. 

Question Concerns the Community 

I agree with Mr. Baker, but I see difficulty in the way 
of letting "everybody in the community understand," 
unless the industry is able to secure the active participa- 
tion of the better informed and more intelligent part 
of the community. I do not, for a moment, believe that 
the attempt now being made in this city of New York 
to wreck the system of local transportation appeals to 
any person of knowledge and intelligence. I will go fur- 
ther than that and say that I do not believe that it ap- 
peals to any but the very ignorant, I do not believe 
that an electorate that votes as the electorate of Toledo 
voted, to oust a street railway system from the streets, 
is an "informed" electorate. I believe that situations 
such as those in New York and Toledo, as well as in cer- 
tain other places, are a reflection upon the better part 



of the community which pays so little attention to civic 
affairs that it stands idly by while a service absolutely 
essential to the community is destroyed, because some 
men think more of votes than they do of the real in- 
terests of the people. 

This street railway problem has passed the stage 
where it is simply a concern of the owners and operators 
of the properties. They have lost and are losing a great 
many millions of dollars, and for them the situation is 
deplorable enough; but the communities, and through 
the communities you men of business, the workmen, the 
ordinary every-day citizen, are today threatened with 
the loss or demoralization of a service that is absolutely 
necessary if business is to continue in our large urban 
centers, if the health and morals and comfort and con- 
venience of our citizens are to be preserved. 

We, of the Committee of One Hundred of the Ameri- 
can Electric Railway Association and of the industry 
generally, believe that we have correctly stated the prin- 
ciples which should govern the relations of these com- 
panies with the public, but we are still willing to be 
convinced. From our side, we have made such a close 
and intimate study of the question as is possible. But 
it is the public's question as well as ours, and unless the 
public through its representatives gives it as close at- 
tention, devotes as much energy to its solution, and 
ultimately reaches conclusions upon which it is willing 
to attempt readjustment, we shall arrive nowhere. 

The Situation in New York State 

I desire particularly to call attention to this aspect 
of the matter because of conditions here in the State 
of New York. As early as June, 1917, the trend of 
events was apparent to the electric railway men of this 
state, who were thoroughly alarmed over what they saw 
was coming upon the industry. A committee was 
formed, consisting of five gentlemen representing com- 
panies located in New York City, and five gentlemen 
representing companies located in other cities in the 
State. 

In behalf of some thirty-nine companies, this com- 
mittee made application for a hearing before the two 
Public Service Commissions and upon the application 
being granted applied for relief in the shape of increased 
rates. A very exhaustive presentation of the situation 
was made to both commissions, in which attention was 
drawn to the vast increase in expenses and the preca- 
rious situation of most of the companies. 

The First District Commission did nothing. The up- 
State Commission, deciding that it had power to exceed 
rates named in franchises, proceeded to hear individual 
cases and gave relief in several. They were halted, how- 
ever, by a decision of the State Court of Appeals to the 
effect that they were without jurisdiction in the case 
of companies operating under franchises containing fare 
limitations. Now, v/e have it on the authority of Judge 
Hughes, who as Governor of the State was instrumental 
in securing the passage of the public service commis- 
sion laws, that it was the intention of the framers to 
bestow complete jurisdiction upon the commission, and 
that the failure so to provide was an inadvertence. The 
obvious remedy was an amendment to the law which 
would give to the commissions the power which they 
were originally intended to have. 

Two legislatures in succession have failed to make 
such amendments. 

This would be entirely understandable if the legis- 
latures had provided other means for relieving the situ- 



January 3, 1920 



Electric Railway Journal 



29 



ation; had subscribed to another policy in the regula- 
tion of public utilities, or had even investigated the pos- 
sibility of some other policy. None of these things has 
heen done. On the contrary, by amending the law as it 
applies to the First Public Service Commission District, 
there have been left all of the provisions for the exer- 
cise of complete and rigid control over service, but noth- 
ing has been done which permits the commission to 
allow adequate revenue to be provided in order to com- 
ply with such service requirements. 
. An appeal to the Governor of the State, that he ap- 
point a commission to investigate and report upon the 
situation and to make recommendations for construc- 
tive legislation for the correction of the present intoler- 
able conditions has been equally futile. The State of 
New York today is without any constructive policy as 
to the regulation of its electric railways, and nowhere 
is there evidence of concern on the part of any state 
officials to inaugurate such a policy, although there 
«eems to be no lack of activity upon the part of those 
who are attempting to make a bad situation much worse. 
The result of this failure on the part of the public 
■officers to comprehend and to act upon the conditions con- 
fronting them is reflected in New York City in the break- 
ing up into its component units of the New York Rail- 
ways, and the Brooklyn Rapid Transit System, with its 
consequent very large increase in fare to many riders ; 
in the abandonment of lines wherever possible, and 
throughout the State in the deterioration of service. 



There is evidence that the people themselves are tak- 
ing an interest in the situation. Numerous investiga- 
tions are being conducted throughout the country by 
civic and business organizations. Very many construc- 
tive suggestions are being made. The day is dawning 
when the unscrupulous politician can no longer expect 
to ride into office on the back of a calamity which he 
himself has assisted in creating. 

I have said to you that I believe that the treatment 
of this electric railway problem affords a test of the 
ability of the American people properly to serve the 
problems which are more and more common as our na- 
tional life becomes more complicated and involved. Let 
me add that this test is as much a test of the better 
educated and more intelligent part of the public as it is 
of the more ignorant, because the duty devolves upon the 
former to lead the way in the solution of questions of 
this kind and to devote their higher intelligence to the 
information of the others. 

I am optimistic as to the future. I believe that a way 
out of the difficulties can be found. I have hopes that 
the recommendations made to the President by the Fed- 
eral Electric Railways Commission will be of such a 
nature as to afford a common meeting place for both the 
public and the utilities, and that with these recommen- 
dations as a guide, the business men of the nation will 
make this problem their own and that they will force a 
readjustment that will be entirely equitable to every 
one concerned. 



The Zone Plan in New Jersey 

By H. C. Eddy 

Electric Railway Engineer, Board of Public Utility 
Commissioners of New Jersey, Newark, N. J. 






Under Existing Conditions the Zone 
Plan Will Not Produce the Rev- 
enue Which Public Service 
Railway Must Have 

^HE Public Service Railway of 

New Jersey, having about 860 

miles of track, operates through 
146 municipalities in the State and 
ranks among the largest street railway 
systems in the country. By permission 
of the Board of Public Utility Commis- 
sioners, State of New Jersey, this com- 
pany on Sept. 14, 1919, inaugurated a 
zone system of fare collection, follow- 
ing the general lines of a zone plan 
submitted to the board by its direction. 
The proposed rate under the original plan submitted 
was 5 cents for the first zone or fraction thereof, and 
1 cent for each zone or fraction thereof thereafter, with 
1 cent for a transfer. The standard length of zones was 
1 mile, variations from this distance being made in 
certain cases to meet traffic and other conditions where 
it was found advisable to do so. 

This was the first attempt to establish a trolley fare 
on practically a mileage basis on any large scale, and, 
while the early history of the experiment is doubtless 
generally known to the industry, it is thought that a 
review of the matter will be of interest. It is the 




Board of Public Utility Commis- 
sioners Regretfully Permitted 
the Company to Return to the 
Flat-Fare System 

main purpose of this article, however, 
to give an account of the results of the 
operation of the system and the causes 
which led up to its final abandonment 
by the company. 

Following the filing by the Public 
Service Railway on March 5, 1918, of a 
petition, amended March 19, 1918, for 
increased rates from 5 cents to 7 cents, 
with 2 cents for the initial transfer and 
1 cent for a transfer on a transfer, the 
board, after hearing, by a report 
and order dated July 10, 1918, dismissed the petition 
but allowed a charge of 1 cent for each initial transfer, 
effective Aug. 1, 1918. Certain conditions were in- 
cluded in this order, among which was the following: 

4. The company shall file or submit to the board before 
Jan. 1, 1919, a plan whereby the method of charging at 
present in force may be revised by an equitable zoning sys- 
tem over its entire territory, proper consideration being 
given to all of the elements to more properly relate the cost 
of service with the length of haul and value of service. 

Subsequently, owing to additional wage awards by 
the National War Labor Board, under date of Sept. 25, 
1918, the hoard granted the company, at the latter's 



30 



Electric Railway Journal 



Vol. 55, No. 1 



request, an increase to a rate of 7 cents, with 1 cent 
for a transfer, effective Oct. 15, 1918, and to continue 
until April 1, 1919, when the rate was to be 6 cents, 
the 1-cent transfer charge to be retained. However, 
by permission of the board the 7-cent fare was again 
restored on May 2, 1919, following a petition to that 
effect submitted by the company on March 11, 1919. 

In the meantime, under date of March 11, 1919, the 
company submitted a comprehensive report providing 
for a zone plan of fare collection, an extension of the 
original time for submission of the report, Jan. 1, 1919, 
having been requested by the company and granted by 
the board. Hearings in regard to this matter, including 
also the valuation of the entire property, were begun 
on March 26, 1919, and continued through the spring, 
summer and fall, and in fact are in progress at the 
time of this writing, December, 1919, so far as the 
valuation of the property is concerned. 

Three Plans Submitted by the Railway Company 

Subsequently, the company submitted for the con- 
sideration of the board three alternative schedules of 
rates as follows: 

1. A charge of 9 cents where 7 cents is now being charged, 
together with 1 cent for each initial transfer. 

2. A system of charges based upon the zone plan as 
submitted modifying the charges therein proposed as fol- 
lows: 5 cents for the first 2 zone-miles and 2 cents per 
zone-mile thereafter, together with 1 cent for each transfer. 

3. A system of charges based upon the zone plan as sub- 
mitted modifying the charges therein proposed as follows: 
3 cents for the first zone-mile and 2 cents for each zone- 
mile thereafter without transfers. 

After due consideration, under date of July 30, 1919, 
the board issued a report permitting a schedule of 
rates to take effect Sept. 14, 1919, based on a zone 
system of fares as provided for in the third schem.e 
proposed by the company, as indicated above, and fol- 
lowing in general the plan as submitted under the 
board's order of July 10, 1918. 

Under date of Oct. 21, 1919, the company offered 
to the board for it? consideration a schedule of rates 
to be charged under the zone plan in modification of 
the former rates and in substitution thereof if the 
board should continue the zone plan with a modified 
schedule of rates. If this alternative schedule was 
unacceptable the com.pany proposed a return to the 
pre-existing flat fare of 7 cents, with 1 cent for a 
transfer. 

After a hearing on this matter the board issued a 
report, on Oct. 23, 1919, recommending that the zone 
system be continued with a modification of the schedule 
of fares, providing for a charge of 5 cents for the 
first two zones and 1 cent a zone thereafter, with 1 cent 
for a transfer. 

A few days later the company submitted a statement 
refusing to accept the board's recommendation and 
renewed its application for permission to return to 
the 7-cent flat fare with 1 cent for a transfer. This 
was refused by the board on Oct. 30, 1919, and the 
company finally agreed to accept the board's recom- 
mendation, the new rate of 5 cents for the first two 
zones or fraction thereof, 1 cent for each zone or frac- 
tion thereof thereafter and 1 cent for a transfer being 
put into effect on Nov. 16, 1919. 

Again, under date of Nov. 24, 1919, the company made 
a further request for a return to the former flat-fare 
rate of 7 cents, with 1 cent for a transfer. This was 
granted by the board after hearing, and on Dec. 7, 



1919, the zone system was abrogated. This last deci- 
sion is not to be interpreted as the permanent rate 
to be allowed by the board. Such rate will not be 
determined until the valuation of the property now 
under investigation is determined by that body. 

Reasons for Successive Fare Changes 

The numerous petitions submitted by the company 
during the past twenty-one months appear to have been 
necessitated by the rapidly changing conditions which 
developed. It was claimed at first that the company 
required greater revenue than it was receiving under 
the 5-cent flat fare to enable it to function properly. 
There followed, in rapid succession, two awards of the 
War Labor Board, each greatly increasing the com- 
pany's annual wage expenditure. The introduction of 
the zone system under what was known as the "3-and-2" 
plan failed to bring in sufficient revenue. Resort was 
then made to the "5-and-l" zone rate in the hope that 
this would produce satisfactory results, but the returns 
under this rate were also not immediately sufficient, 
and the 7-cent flat fare with 1 cent for a transfer 
v/as again adopted. Whether this latter rate will prove- 
satisfactory remains at this writing to be demonstrated. 

The board, in an effort to meet the conditions as 
they developed, and in order to provide a revenue 
which would maintain the solvency of the company, 
coupled with a desire thoroughly to demonstrate the 
feasibility of carrying out the zone principle, made a 
most thorough investigation of each case presented 
and issued its various reports, recommendations and 
orders accordingly. 

The following quotation from the board's report of 
July 10, 1918, appears to indicate its attitude in regard; 
to the flat-rate charge: 

Numerous witnesses produced by the petitioner clearly 
indicated as their opinion that the flat-rate fare system 
was an inheritance from horse-car days and was in no 
sense a scientific or proper charge for the service rendered. 
While the board's power to increase railway fares despite 
the existence of a municipal ordinance specifying the maxi- 
mum fare to be charged has been sustained, an important 
question would arise as to whether we would countenance 
a horizontal raise of the uniform 5-cent rate without an 
investigation of the nature and extent of the service ren- 
dered for the fare charged and all the elements involved 
therein. The charge for the service does not bear any 
fixed relation to the service. Under the present existing 
5-cent uniform rate, some passengers are permitted to be 
carried a considerably greater distance for the same rate 
than other passengers. This may unduly discriminate 
against the short-haul passenger or short rider, and any 
horizontal increase in the flat rate would further exag- 
gerate this discrimination. 

Lack of Co-operation Was Difficult to Supply 

From the very day the zone system was placed in 
operation there appears to have been a general lack 
of co-operation on the part of the public to make it 
a success, which obviously indicated unpopularity of 
the system. This was undoubtedly due to several 
causes, among which were the following: 

1. The original rate adopted, particularly as applied 
to long-distance riders, was undoubtedly excessive. 

2. The locations of several of the original zone points 
were not suitable. These, however, were capable of 
readjustment, as provided by the board's order permit- 
ting the zone system to be inaugurated. 

3. The period in which the trial of the system was 
made was one of industrial unrest which resulted in 
unlawful tactics on the part of certain classes of patrons 
in certain localities. 



January 3, 1920 



Electric Railway Journal 



31 



4. Delays were occasioned by the method of fare col- 
lection adopted. 

5. The system was inaugurated in the midst of a 
hotly contested political campaign in the State and was 
used as political capital by both parties. 

The first of the objections could have been, and in 
fact was removed by the change in rate of fare which 
ultimately could have been further adjusted to meet the 
requirements of the company. 

The second could have been entirely removed, and was 
in a large measure rectified by readjustment of certain 
zone points. In this connection it should be stated that, 
although the zone points were located with very great 
care and after much study, yet it was inevitable that 
actual operating conditions would develop the desirabil- 
ity of certain changes. 

The third was difficult to meet but this was accom- 
plished in considerable measure in most instances. 

The fourth was gradually being minimized as the pub- 
lic and the employees of the company became more fa- 
miliar with the system. This doubtless could have been 
reduced to an almost negligible quantity had there been 
full co-operation on the part of the public and the em- 
ployees of the company, together with some modifica- 
tions of the plan, particularly in connection with the 
method of the issuance of zone checks by the motorman. 

Concerning the fifth objection, it was unfortunate 
that the system should have been inaugurated under 
these conditions. 

Camden Was the Center of Anti-Zoning 
Distltrbance 

The lack of co-operation on the part of the employees 
of the company, at least after the first few weeks that 
the system was placed in operation, undoubtedly had 
much to do with its unsuccessful operation during the 
trial period. That the system was most unpopular with 
the platform men was demonstrated at a hearing 
granted the men by the board, at their request, relative 
to this matter. It is not to be expected that the men 
would use every effort tending to the success of a sys- 
tem toward which they themselves were very antagonis- 
tic. This feeling on the part of the men may have been 
produced partly by the fact that the plan was not "sold" 
to them by the company and the men in turn did not 
"sell" the plan to the public. This combination of cir- 
cumstances could not be expected to be conducive to the 
success of any such undertaking. 

Immediately following the inauguration of the sys- 
tem a unique situation developed in the City of Cam- 
den, where an organized boycott on the company was 
established and successfully maintained for a long 
period. This boycott was made possible largely for the 
reason that the lines of the Public Service Railway in 
the vicinity of Camden are for the most part paralleled 
by steam railroad lines, the latter furnishing good ser- 
vice. This, on the inauguration of the zone plan on the 
Public Service Railway lines, was considerably aug- 
mented. The commutation rates of fare on these lines 
to Camden and Philadelphia, the traffic on which consti- 
tutes a considerable proportion of the Public Service 
Railway's patronage in the general vicinity, was con- 
siderably lower in most cases than the rates charged by 
the Public Service Railway under the zone system. 

Much opposition to the system was manifested also 
by the shipyard workers, particularly in the vicinity of 
Camden, culminating in rioting which resulted in not 
a little personal injury and much damage to property, 



chiefly rolling stock of the company. The extra service 
previously maintained for the shipyard workers was dis- 
continued by the company for a considerable period as a 
result of this lawlessness. 

Some objection to the system was also made in other 
localities. The following quotation from the board's 
report of Oct. 23, 1919, in regard to this matter is of 
interest : 

With few exceptions, the company's proposal to abrogate 
the zone plan and return to a flat fare of 7 cents, with 1 
cent for a transfer, was unfavorably received. It was 
urged by some that the zone plan should be abrogated and 
the company be required to restore the flat fare of 5 cents 
in effect before the approval of the board of a higher 
charge. Many of those who urged this contended, and 
with evident sincerity, that, if this were done, riding would 
increase to such an extent that the company's revenues 
would be equal to those which would accrue under a 7-cent 
fare. 

Other elements than the opposition of the platform 
men and a certain degree of unpopularity of the sys- 
tem among the traveling public were conducive to the 
conditions which resulted in its abandonment. Among 
these were the following: 

1. The complete equipment for operating the zone sys- 
tem was never used by the company, doubtless because 
of the great investment involved and inability to secure 
the apparatus in the limited time allowed between the 
authorization and specified date of inauguration of the 
plan. Possib'y a trial of the plan on a few lines of the 
property with the complete equipment would have been 
a fairer test of its feasibility. 

2. The plan as devised by the company was not 
adapted for application in every detail to every part of 
so large a property having so many varying character- 
istics. Modifications in the plan to meet different con- 
ditions on different parts of the property would un- 
doubtedly have brought about more satisfactory results. 

3. Insufficient publicity was given the plan previous 
to its inauguration and during at least the early period 
of its operation. 

4. Various detail obstacles were incidental to the 
method of introducing the system and in its operation, 
many of which probab^ could have not have been read- 
ily foreseen. 

From the foregoing it will be noted that the practica- 
bility of the zone plan as applied to the system of the 
Public Service Railway did not have a fair trial during 
the recent experiment. 

The Board's Present Attitude in the Matter 

The following quotation from the board's latest re- 
port on the matter appears to indicate its attitude rela- 
tive to the flat-fare charge and its view of the experi- 
ment with the zone system: 

To raise the additional revenue required, in localities 
where the flat-rate method of charging existed, the rail- 
ways generally resorted to the plan most available of 
increasing the charge to the extent necessary to meet the 
requirements. This generally was resented by the patrons, 
particularly the most lucrative class thereof, viz., the short- 
haul riders. * * * jjj many instances companies have 
sought successive increases in excess of the previously exist- 
ing 5-cent rate, in some cases reaching the limit of 10 cents. 
The history of the experiences of the various street rail- 
ways employing this method to meet the difficulty indicate 
clearly that it threatens catastrophe to street railway trans- 
portation. * * * What such a catastrophe means to the 
public has not yet been appreciated by it. To avoid the 
possibility of it we have devoted our best thought and 
endeavors. To solve the problem required, however, co- 
operation not only of the company and its employees, but 
of all others interested in the public welfare and the wel- 
fare of the State and its industries. We believe that with 
co-operation the plan proposed would at least have had a 



N. 



32 



Electric Railway Journal 



Vol. 55, No. 1 



fair trial. It does not follow that the plan proposed would 
be adaptable in all its details or solve fully the problem 
satisfactorily either to the public or to the company. With 
a fair trial of the plan proposed, however, adjustments 
could be made, and the experience which could be obtained 
would furnish data which could be submitted to and studied 
by the experts engaged by the public and the company. 
Some plan acceptable to the public and the company might 
thus have been evolved. That the plan has not had a 
fair trial, however, must be conceded. * * * The board 
does not have sufficient evidence to justify it in determining 
that the existing rate is one which can be ordered con- 
tinued without regard to the imminent insolvency of the 
company. In view of all the facts and circumstances in- 
volved, the board regrets that for the time being at least 
the zone plan, the principle of which has commended itself 
to our judgment, must be discontinued and the rates of 
fare in effect before its adoption again charged. 

The industry throughout the country had been 
watching with great interest the preparation, inaugu- 



ration and, finally, the operation of the plan of the Pub- 
lic Service Railway in the hope that the solution of the 
trolley rate problem would be found thereby, and it is 
unfortunate that circumstances developed which pre- 
vented a thorough demonstration of the practical oper- 
ation of the plan. 

Advocates of the zone plan need not be discouraged, 
however, on account of the result of this experiment. 
On the contrary, they should be encouraged to apply the 
system with such modifications as have been shown to 
be necessary, bearing in mind, however, that the pecul- 
iar conditions existing on any and every property must 
receive due and very careful consideration in the adop- 
tion of a zone plan which will be satisfactory from an 
operating standpoint as well as a source of sufficient 
revenue. 



Fare Increases in New York* 

Statistics Are Given of Recent Electric Railway Fare Increases, Receiverships and Aban- 
donments in New York State, as Well as the Effect of These Increases 
on the Traffic of the Individual Companies 

By Harlow C. Clark 

Editor of Aera 



I HAVE prepared two statements in connection with 
the subject that has been assigned to me. One 
gives the rate of fare at present in effect, or 
authorized, in each incorporated city or village having 
a population of more than 8,800. The other gives the 
fare situation on each of the eighty-four operating 
railway systems in the State. Both statements are so 
long and complicated, that I shall not attempt to read 
them, contenting myself with a summary of their con- 
tents. I have had copies prepared for the use of Asso- 
ciation members who may desire the information as a 
matter of record. 

There are fifty-six incorporated cities and villages 
in New York State, having a population of more than 
8800. Leaving out New York City, which is served 
by a number of companies, in thirty-one of these com- 
munities, the railway companies are either collecting 
or have been authorized to collect increased unit fare.s. 
In one, a 3-cent charge for transfer to lines outside 
the city limits is in force. In six, relief has been af- 
forded the companies by creating new zones outside 
of city limits. In three, reduced rate tickets have been 
abolished, and in the remaining fourteen, no change 
in fares has been made. 

In the city of New York, the Hudson & Manhattan 
Railroad began in 1911 the collection of an extra 2-cent 
charge for rides between up-town New York and points 
in New Jersey. In July of this year, the New York 
Railway Company and the Brooklyn Rapid Transit 
System began, with the permission of Public Service 
Commissioner Nixon, the collection of a 2-cent charge 
for transfers at certain transfer points where transfer 
charges were not forbidden by their franchises. In 
August of this year, the New York & North Shore 
Traction Company was permitted by Commissioner 
Nixon to extend its zone system, previously authorized 
as to the part of its road outside of New York C'.tv 



•Abstract of paper presented at quarterly meetingr of New- 
York Electric Railway Association, New York, Dec. 10, 1919. 



by the Second District Commission, to its line within 
the city limits, bringing about an increase in the unit 
fare from 5 to 6 cents, and the creation of certain 
new zones. Aside from these, no increase in fares has 
been permitted railways operating in New York City. 

Of the fourteen cities outside of New York in which 
no increase has been made in fares, nine have pre- 
vented such increase by refusing to waive franchise 
restrictions. In three, no application for increase has 
been made; in one, there is no local service, and in one, 
local service has been abandoned. In New York City, 
all companies have applied to the city for relief, ask- 
ing that franchise provisions be waived, but in no case 
has the city given its assent. 

An analysis of tlie statem-ent shows the following 
situation: 

Seven-cent fares — New York (on the Hudson & Man- 
hattan Railroad for rides between up-town New York and 
points in New Jersey), Oswego (authorized, but not yet in 
eflFect), Olean and Port Jervis. 

Seven-cent cash, six tickets for 35 cents — Ogdensburg. 

Seven-cent cash, eight tickets for 50 cents — -Buffalo (au- 
thorized but not yet in effect), Ithaca and Ossining. 

Seven-cent cash, 10 tickets for 50 cents — Jamesto;yn. 

Six-cent initial zone, one-cent extra for each additional 
zone — New York (New York & North Shore Traction Co.). 

Six-cent cash, no tickets — Syracuse, Albany, Schenectady, 
Utica, Troy, Amsterdam, Auburn, Newburgh, Kingston, 
Cohoes, Gloversville, Lockport, Peekskill, Glens Falls, 
Watervliet, Hornell, Geneva, Saratoga Springs, Hudson, 
Beacon, Rensselaer, Johnstown. 

Six-cent cash, 35 tickets for $2 — Poughkeepsie. 

Three-cent transfer charge for rides beyond city limits, 
and readjustment of outside zones — Port Chester. 

Two-cent transfer charge — New York (at certain trans- 
fer points on New York Railways and Brooklyn Rapid 
Transit System). 

Additional fare for rides beyond city limits — Yonkers, 
New Rochelle, Elmira, Mt. Vernon, White Plains, Middle- 
town. 

Reduced Rate Tickets abolished — Watertown, Cortland 
and Plattsburg. 

No relief granted — New York (except as noted), Ro- 
chester, Binghamton, Niagara Falls, Rome, Dunkirk, Lack- 
awanna, Coming, North Tonawanda, Little Falls, Batavia, 
Fulton, Oneonta, Oneida and Tonawanda. 



JanvAiry 3, 1920 



Electric Railway Journal 



33 



The cities which have refused to waive franchise 
provisions in order to grant relief to their traction 
systems are New York, Buffalo, Rochester, Bingham- 
ton, Niagara Falls, Elmira, Amsterdam, Rome, Dun- 
kirk, Lackawanija, North Tonawanda, Plattsburgh, 
Oneida and Tonawanda. 

The cities which have actually waived franchise pro- 
visions in order to afford relief are Syracuse, Sche- 
nectady, Utica, Troy, Auburn, Cohoes, Oswego, White 
Plains, Peekskill, Port Chester, Watervliet, Rensselaer, 
Port Jervis. 

The second statement to which I have referred covers 
the eighty-four operating railway systems of the State. 
Of these forty-five furnish city and suburban service, 
seventeen furnish exclusive interurban service, twenty- 
one furnish both interurban, city and suburban serv- 
ice, and one does freight switching only. The follow- 
ing summary shows the relief that has been granted 
to these roads: 

City and suburban fares increased 21 companies 

Interurban fares increased. 14 companies 

City and interurban fares increased .... 14 companies 

Partial relief granted 3 companies 

Service completely abandoned 3 companies 

No increase asked 10 companies 

Increase blocked by franchises 16 companies 

Increase granted but nullified 1 company 

Switching road 1 company 

Of the eighty-four roads included in the list eleven 
are in the hands of receivers, as follows : 

Buffalo Southern Railway Co 23.35 miles 

Buffalo & Lake Erie Traction Co 168.00 miles 

Buffalo & Depew Railway Co 14.00 miles 

Buffalo &, Lackawanna Traction Co 8.80 miles 

Binghamton Railway Co 49.74 miles 

Brooklyn Rapid Transit Co 690.89 miles 

Homell Traction Co 10.90 miles 

Manhattan & Queens Traction Corporation 22.00 miles 

New York Railways Co 153.60 miles 

Penn Yan & Lake Shore Railway 10.00 miles 

Second Avenue Railway Co 23.90 miles 

Total 1174.28 miles 

This 1174.28 miles of track in the hands of receivers, 
constitutes almost 24 per cent, or nearly one-quarter 
of the total of 4893.49 miles of track within the State. 

Since Jan. 1, 1918, there has been a notable aban- 
donment of track and service by New York State 
companies. The following roads have completely aban- 
doned service: 

Huntington Railroad Co.* 19.97 miles 

Suffolk Traction Co 28.97 miles 

In addition the following partial abandonments of 

service have occurred: 

Buffalo & Lake Erie Traction Co. (Dun- 
kirk city lines) 9.1 miles 

Third Avenue Railway Co 30.8 miles 

New York Railways Co 8.71 miles 

Yonkers Railroad Co 8.5 miles 

This makes a total of 106.04 miles of track aban- 
doned within a year, and indications point to further 
abandonment within a short time unless relief is af- 
forded. Thus, preparations are now being made to 
abandon service on the 25.84 miles of track operated 
by the Long Island Electric Railway, within the limits 
of New York City. 

Effect of Increased Fares Described 

I have attempted to secure from as large a number 
of electric railway operators as possible opinions as 

*In December, 1919, efforts were being made to renew operation 
on this line. — [Eds.] 



to the effect of increased fares both upon the revenues 
of the companies and the riding habits of their pa- 
trons. The impossibility of securing direct compari- 
sons is apparent. Conditions vary so greatly between 
communities in the first instance and between those 
prevailing at various times in the same community 
that the mere setting forth of figures is of no as- 
sistance in arriving at a conclusion. In a question- 
naire sent to the executives of all operating systems, to 
which replies were received from thirty-two railways, 
the following request was made: 

It is desired to secure information as to the effect of in- 
creased fares both upon riding habit and revenue. Owing, 
however, to varying conditions caused by time and locality, 
it is not possible to provide a standard form of reply. 

Will you not, therefore give what you consider to be 

the fairest possible estimate of the effect of such increase 
or increases as you have received and, in addition, give 
your opinion as to the extent that riders lost through such 
increase or increases have been recovered, after the public 
became reconciled to the change? 

Of the replies received, nineteen dealt with the 
effect of increased fares in city service. Two of these 
nineteen dealt with 7-cent fares, one with a 7 and 
6-cent fare, nine with a 6-cent fare, one with a 2-cent 
transfer charge, five with increased rates outside the 
city limits, and one with the abolition of reduced rate 
tickets. 

In relation to 7-cent fares, Charles C. Wagner, man- 
ager Port Jervis Traction Company, reports that the 
increase which has been in effect since Jan. 1 of this 
year has not caused a falling off in riding "to any 
extent." Paul S. Murphy, treasurer Ogdensburg 
Street Railway, which has been collecting a 7-cent 
fare, six tickets for 35 cents, since June 1, 1918, pre- 
sents some interesting figures, which show that for 
the six months ending May 31, 1919, as compared with 
the six months ending May 31, 1918, there was a loss 
in passengers carried of 3.41 per cent and an increase 
in passenger revenue of 33.84 per cent; that the same 
six months in 1919 as compared with 1917, before the 
change was effective, showed a loss in passengers car- 
ried of 14.14 per cent and an increase in passenger 
revenue of 17.47 per cent. However, the first six 
months of 1918 as compared to the first six months 
of 1917, in neither of which periods was the increase 
effective, showed a decrease in passengers carried of 
11.10 per cent and a decrease in passenger revenue of 
12.23 per cent. The six months immediately following 
the increase showed, as compared to the corresponding 
six months of the year before, a loss in passengers 
carried of 27.60 per cent and an increase in revenue of 
0.23 per cent. It may be assumed from these figures, 
first that while the loss in passengers carried was ac- 
celerated by the increase, it was not entirely caused by 
it, and that this loss is gradually being made up as the 
higher range of prices and of salaries and wages to 
meet them becomes recognized. 

In Peekskill a 7-cent fare was put in effect by order 
of the Public Service Commission on Jan. 1, 1918. On 
the first of May it was taken out because of the Quimby 
decision. In December, 1918, the city consented to a 
6-cent rate which has since been effective. H. D. 
Swain, assistant treasurer Peekskill Lighting & Rail- 
road Company, says that the 7-cent fare caused "some 
loss of traffic," but that under a 6-cent fare "we carry 
as many passengers as if it were a 5-cent fare." 

The largest city in the State in which a 6-cent fare 
is effective is Syracuse. Discussing the situation in 



34 



Electric Railway Journal 



Vol. 55, No. 1 



that city and in Utica, where a 6-cent fare is also 
effective, C. R. Gowen, general passenger agent New 
York State Railways, says: "From Jan. 1 to Nov. 30, 
1919, the earnings of the Syracuse lines have increased 
23.92 per cent, and for the Utica City lines up to Oct. 
31, 12.76 per cent. We do not believe that the in- 
creased fare has affected the riding habit because in 
Syracuse the figures speak for themselves and in Utica, 
with the signing of the armistice, several large muni- 
tions plants practically closed down, which has ma- 
terially affected the riding." 

In Schenectady, where a 6-cent fare has been in 
effect since May 26, 1919, there was, for the three 
months ending Sept. 30, a decrease in number of pas- 
sengers carried of 4.03 per cent, while the revenues for 
the same period increased 14.88 per cent. J. P. Barnes, 
general manager Schenectady Railway, says of this 
showing: "In our opinion, increases in rates on our 
lines have had little effect, if any, on riding habit. The 
decreases in passengers carried, as shown on the state- 
ment, are attributable to unfavorable changes in in- 
dustrial conditions in this vicinity." 

In Poughkeepsie, where a 6-cent fare has been in 
effect since Jan. 16, 1918, J. A. Nilan, auditor Pough- 
keepsie City & Wappinger's Falls Railway, says that 
there was a falling off in the number of passengers 
carried for three months after the fare became ef- 
fective. After that, the traffic showed an increase. 

The traffic of the Albany Southern Railroad in the 
city of Hudson showed an actual increase after the 
6-cent fare became effective on Sept. 1, 1918. C. E. 
Holmes, the company's general freight and passenger 
agent, says: "The Hudson City line shows for the first 
year of operation after the 6-cent fare was in effect, 
30 per cent increase in revenue and no decrease in the 
number of passengers. In fact, there was a small in- 
crease although there was no change in the service." 

W. J. Harvie, general manager Auburn & Syracuse 
Electric Railroad, says that for about two months 
after the 6-cent fare became effective in the city of 
Auburn, there was a reduction in travel. After that 
it gradually increased and finally showed an increase 
of about 15 per cent over the previous year. 

In the city of Lockport, where a 6-cent fare becam.e 
effective March 1, 1919, returns for the month of Sep- 
tember, 1919, as compared to September, 1918, fur- 
nished by E. J. Dickson, vice-president International 
Railway, show a decrease in revenue passengers of 9.99 
per cent and an increase in revenue of 8.02 per cent. 

In Kingston, according to G. B. teBow, superin- 
tendent Kingston Consolidated Railroad, the public has 
shovm no resentment against the 6-cent fare which 
became effective April 15, 1919, passenger revenue has 
shown an increase of 25 per cent, as against a theo- 
retical 20 per cent. 

B. Bryant Odell, secretary Orange County Traction 
Company, reparts that a 6-cent fare in the city of 
Newburgh, effective since Nov. 29, 1917, has resulted 
in no "apparent loss of riders." 

In the cities of Amsterdam, Johnstown and Glovers- 
ville, a continuing loss of riders is reported by W. H. 
Collins, general manager Fonda, Johnstown & Glovers- 
ville Railroad. "On the company's three city lines," says 
Mr. Collins, "under the 6-cent fare, eleven months 
operation to Oct. 31, 1919, with fares aggregating 
$173,788.39, an increase of $7,374.78, or 4i per cent, 
there is a continued falling off in number of passengers 



carried, varying in different months, but to date, rides 
lost through increase in fares have not been recovered." 

It is impossible at this time to secure any figures 
of value as to the effect upon riding of the 2-cent trans- 
fer charge which was made effective in New York City 
on Aug. 1 last. Frank Samuelson, auditor for the 
receiver New York Railways, says: "Owing to tho 
brief experience under the 2-cent transfer arrange- 
ment we are not in a position at this time to furnish 
information that would be of value as to the extent 
of the loss, if any, in 5-cent fares by reason of the 
2-cent charge for transfers. It is estimated that the 
additional gross receipts as the result of this 2-cent 
transfer charge will be around $600,000 per annum." 

In Yonkers, Elmira, Middletown, New Rochelle, Port 
Chester, Mount Vernon, White Plains and a number of 
other villages in Westchester County, relief has been 
given to companies by an increase in fares outside of 
city limits. E. A. Maher, Jr., for the Yonkers Rail- 
road Company, F. H. Richtmeyer, general passenger 
agent for the Westchester Street Railroad and the 
New York & Stamford Street Railway, and Miss May 
L. Robinson, auditor Wallkill Transit Company, report 
that the additional fares have made no perceptible im- 
pression on the traffic. In the case of Elmira, Vice- 
President F. H. Hill of the Elmira Water, Light & 
Railroad Company, says: "The increase in fares on our 
city lines affected long-haul passengers only. There 
was, therefore, no appreciable effect on riding habit."' 

On March 7, 1919, the Black River Traction Com- 
pany, of Watertovm, stopped the sale of twenty-five 
tickets for one dollar; on Sept. 15 of the same 
year it stopped the sale of round-trip tickets at a re- 
duced rate to surrounding territory. L. Schwerzman,. 
the general manager of the company, says that at first 
the revenue of the company was increased about 60' 
per cent of the estimate, but at the present time the 
full 100 per cent is being received. 

Effect of Increases on Interurbans 

Of the interurban roads, whose executives replied to 
the questionnaire, one is collecting 4 cents a mile, three 
are collecting 3 cents a mile, one is collecting 2.7T 
cents a mile, three are collecting 2f cents a mile, one 
is collecting 3 cents on one line and 2J cents on others,, 
and two are collecting 6, instead of 5 cents per zone. 

H. R. Skirving, auditor and treasurer Southern New 
York Power & Railway Corporation, the rates of which 
were raised from 3 to 4 cents a mile on Jan. 26, 1919, 
reports a 12 per cent increase in passenger revenue and 
a 10 per cent decrease in passengers carried for the 
first ten montTis of 1919. C. Loomis Allen, vice-presi- 
dent Syracuse & Suburban Railroad, reports that an 
increase in the cash fare of from 2 cents to 3 cents a 
mile made Oct. 11, 1918, has increased gross revenue 
22 per cent, with no loss in passengers carried. Fares 
on the Rochester & Syracuse Railroad have been raised 
three times since May 5, 1918, from a charge of 1.77 
cents per mile, to 3 cents a mile. W. D. Zinsmeister,. 
treasurer of the company, says of the result: "On three 
increases in fares amounting to approximately 65 per 
cent, we are receiving 24 per cent increase in revenue. 
The number of passengers carried has decreased IG 
per cent, but it is apparent that the passengers are 
becoming reconciled to the new rates, as the number 
of passengers carried has shown a small increase for 
the past two months." , 



January 3, 1920 



Electric Railway Journal 



35 



An increase from a system of 5-cent zones to a flat 
rate of 3 cents a mile, made by the Fonda, Johnstown 
& Gloversville Railroad, Aug. 1, 1918, has resulted in 
a final increase in the number of passengers carried. 
General Manager W. H. Collins of the company says: 
"On the company's three interurban lines, fifteen 
months' operation to Oct. 31, 1919, with fares aggre- 
gating $682,095.54, an increase of $74,537.60, or 12 
per cent, show a falling off in the first ten months in 
passengers carried, but an increase of 52,382 pas- 
sengers for the five months ending Oct. 31, 1919." 

The Empire State Railroad Corporation has in- 
creased its fares twice since Jan. 6, 1918, when the 
fare was 2 cents cash, 2 cents one-way ticket, and 1.8 
cents round trip ticket, per mile. It is now 2.77 cents, 
cash and ticket. Vice-president J. C. Nelson says, 
"From a statistical analysis of our interurban situa- 
tion, we do not believe that increase in fares has de- 
creased traffic to any appreciable extent." 

On April 27, 1918, the Rochester, Lockport & Buffalo 
Railroad raised fares from 2 cents, cash and ticket, 
to 2i cents cash, 2i cents ticket, per mile. On Aug. 2, 
1918, it made a further increase to 3 cents cash and 24 
cents ticket. On July 10, 1919, it put in a flat rate of 
21 cents cash and tickets. Passengers cairied began 
to decline before fares were increased. There was a 
decrease of 44,149 as between 1916 and 1917, although 
passenger revenue increased $23,484.75. Between 1917 
and 1918 passengers carried decreased 374,180, and 
passenger revenue increased $14,601.81. The flrst ten 
months of 1919 show practically no decrease in pas- 
sengers carried and substantial increase in revenue as 
compared to 1918. 

Fares on the Albany Southern Railroad were in- 
creased from 2.2 cents a mile to 2.75 cents, on Dec. 1, 
1918. For the first eleven months under the new tar- 
riff, passenger revenues increased about 26 per cent 
and passengers carried about 3 per cent. "There was 
no decrease in number of passengers carried from the 
start," says C. E. Holmes, general freight and pas- 
senger agent, "although the public contested the in- 
crease before the Public Service Com.missioVi." 

On May 28, 1917, fares on the interurban division of 
the Auburn & Syracuse Electric Railroad were changed 
from 5 cents a zone to 2 cents a mile. On Aug. 1, 
1918, they were changed to 2i cents a mile, cash and 
ticket and on Dec. 23, 1918, to 3 cents cash, 21 cents 
ticket. General Manager W. J. Harvie says: "Follow- 
ing the increase we had a falling off in travel. This we 
believe was largely on account of the closing of a mu- 
nition plant lo(;^ted on our line. We are unable to state 
what effect the increase had on our interurban travel." 

The September revenues of the interurban lines of 
the International Railway Company, 1919, as com- 
pared with 1918, showed an increase of 23.66 per cent, 
although the number of passengers carried fell off 3.07 
per cent. Fares were increased on these interurban 
lines on May 1, 1919, from 2i cents to 3 cents on the 
Olcott line and from 2 cents to 2i cents on all others. 
E. J. Dickson, vice-president of the company, says of 
the result, "It is almost impossible to give any reliable 
information relative to our interurban lines, owing to 
the new high-speed line. There appears, however, to 
be a slight increase in revenue passengers." 

The Penn Yan & Lake Shore Railway increased its 
zone fares from 5 cents to 6 cents in 1917, from 6 cents 
to 7 cents in October, 1918, and reduced them to 6 



cents in April, 1919. William F. Tyler, receiver for 
the company, says: "The increase from 5 cents to 6 
cents and later to 7 cents showed a continued decrease 
in business, but dropping back to 6 cent gave better 
results, showing increased business. The increase 
from 5 to 6 cents on up to 7 cents, then back again to 
6, seems to give better results than a raise from 5 to 
6 cents." 

The zone fares on the Troy and Ballston divisions 
of the Schenectady Railway were increased from 5 to 
6 cents, and the minimum from 5 to 7 cents on May 
26, 1919. The fares on the Albany division were un- 
changed. Yet for the three months ending Sept. 30, 
1919, passengers carried increased 7.46 per cent on 
the Ballston division, while they decreased 1.36 per 
cent on the Albany and 6.23 per cent on the Troy di- 
vision. Passenger revenue increased for the same 
period 17.96 on the Ballston, 15.82 on the Troy and 
2.78 on the Albany divisions. General Manager Barnes' 
comment has already been given in connection with 
city fares. 

Increases amounting to practically 1 cent a mile 
from the former fare of 2 cents a mile were put into 
effect on the interurban lines of the Elmira Water, 
Light & Railroad Company, on July 20, 1919. Vice- 
President Hill says of the result: "The combined ef- 
fect of this and previous fare increases has been a 
25 per cent decrease in passengers. Our gross rev- 
enues, however, on the interurban lines, has been in- 
creased about 10 per cent." 

Dates of Increases 

Increases in fares on New York State railroads, have, 
in point of date effective, been as follows: 

Before 1917 — On city lines, 1; on interurbans, none. 

During 1917 — City lines, 6; interurban lines, 1. 

During 1918 — City lines, 17; interurban lines, 21. 

During 1919 — City lines, 15; interurban lines, 9. 

Attention is called to this matter of the date of in- 
creases, because it was in June, 1917, almost two and 
one-half years ago, that the Committee of Ten, repre- 
senting your association, appeared before the Public 
Service Commissions of both districts and submitted 
proof of the desperate conditions of these utilities and 
the disaster that was bound to overtake them unless 
measures were taken for their relief. The fact that 
relief was so long in coming, when it did come, and that 
so many companies have not yet received relief, is an 
indication of the failure of the particular form of regu- 
lation which we have in New York State, and is justifi- 
cation for a change in the method of controlling these 
utilities. 

It should be said, in justice to the Second District 
Commission, and to the present regulatory commis- 
sioner of the First District, Lewis Nixon, that they 
have, where it has been possible, authorized increases 
of rates to meet the crisis that has come upon the com- 
panies as a result of the high prices forced by the war, 
but there is a constantly growing feeling that is being 
manifested even among the commissions themselves, 
that the present method of rate adjustment is too slow 
and too cumbersome to be effective. 

[In conclusion, the author described how a form of 
such automatic rate adjustment is secured under com- 
mission regulation through the act passed at the last 
session of the Wisconsin legislature and described on 
pages 891-895 of Vol. 54, No. 20 of this paper.] 



36 



Electric Railway Journal 



Vol 55, No. 1 



New Passenger Locomotives for St. PauPs 
Rocky Mountain Division 

Some Details Are Given of the Ten Engines Now Being Delivered to Replace the Original 
Ones on This Division Now Being Regeared for Freight Service 



ABOUT four years ago public interest centered 

l\ on the initial 440-mile electrification of the 
J. JL Chicago, Milwaukee & St. Paul Railroad over the 
Rocky Mountains. - This epoch-making installation in- 
cluded as motive power ten passenger and thirty-two 
heavy freight locomotives. When later the extension 
over the Cascade Mountains was decided upon, five new 
passenger locomotives were ordered from the General 
Electric Company for this division and ten new pas- 
senger locomotives were ordered from the Westinghouse 
Electric & Manufacturing Company to replace the pas- 
senger locomotives on the division farther east, which 
were, to be regeared for freight service. 

The passenger locomotives for both divisions are now 
being delivered by the manufacturers. Up-to-date in- 
formation regarding those for the Cascade Division was 
given in the Electric Railway Journal for Nov. 1, 
1919, page 827. In a paper delivered before the New 
York Railroad Club, and abstracted in the issue of this 
paper for March 23, 1918, page 559, F. H. Shepard, di- 
rector of heavy traction Westinghouse Electric & Manu- 
facturing Company, gave a preliminary account of the 
passenger locomotive for the Rocky Mountain Division, 
It is now possible to reproduce an actual picture of the 
locomotive and to give a few of the design considera- 
tions. A later article will go into the more technical 
features of the locomotive. 

The Rocky Mountain passenger locomotive has a ca- 
pacity to develop 4200 hp. for one hour without exceed- 
ing normal temperature of the motors, and the normal 
starting drawbar pull is 100,000 lb. The drawbar pull 
can, however, be increased without injury to the electri- 
cal apparatus up to the point of wheel slippage. 

The locomotive consists of two duplicate running 
gears of the Pacific type placed back to back, supporting 
a single cab. The wheel arrangement of the locomotive 
is 4-6-2-2-6-4, the drivers are 68 in. in diameter, the 
rigid wheelbase is 16 ft. 9 in. and the total wheelbase 
is 79 ft. 10 in. Rigid and floating center pins have been 
provided to»relieve the cab structure of any pulling or 
bumping strains, all such forces being transmitted di- 
rectly through the running gear. 

This locomotive has been designed to include the 
features which have proved to be of distinct advantage 
in steam locomotive design. Other features kept in 
mind by the designers were to limit the amount of high 
voltage auxiliary apparatus, to provide facility for in- 
spection of the main motors, to furnish a wide range of 
operating speed, and to provide the best possible dispo- 
sition of the apparatus as to grouping and mounting. 

Particular attention was directed to the articulation 
of the several trucks. In their design it was the en- 
deavor to have each truck laid down to take care of itself 
and not have to be led along by any of its com- 
panion trucks. During the tests at East Pittsburgh 
this feature of the mechanical operation of the locomo- 
tive was said to be most pronounced, and to quote one 



authority, "the engine has the riding qualities of a Pull- 
man car." 

An effective study was also made of weight distribu- 
tion and its equalization among trucks. With this lat- 
ter end in view, comparatively long spring hangers were 
used so that any slight increase or decrease in their 
lengths, for the purpose of shifting the load, would not 
have any noticeable effect on the position of the locomo- 
tive springs. 

Power is supplied for the locomotive from six motors 
of the twin-armature type, mounted on the locomotive 
running gear. The two armatures of each motor are 
permanently connected in series and the control is so 
arranged that at least two motors are always in series. 
The result is that with the locomotive voltage of 3000 
on the overhead contact wire, that across any one arma- 
ture never exceeds 750 volts during motor operation. 
The control is further arranged so that all main motor 
fields are connected on the ground side of the circuit, 
thus maintaining m.ost of the voltage stresses on the 
motors practically in line with commercial usage for 
the past fifteen or twenty years. 

The motors are mounted, one over each driving axle, 
on the frame of the locomotive, transmitting their power 
by means of an 89 to 24 gear-and-pinion reduction to 
the locomotive drivers. The gears and pinions are kept 
in mesh by a quill shaft supported on the locomotive 
frame and surrounding the locomotive axle with a liberal 
clearance. The connection between the driving wheels 
and this quill shaft is made by means of springs, one 
end of each of which is connected to the quill shaft, 
while the other engages a bracket on the spokes of the 
drivers. This arrangement permits the drive wheels to 
follow the unevenness of the roadbed without affecting 
the gear mesh, and it also provides a cushioning effect 
for the torque of the motors. 

In the design of this type of quill shaft, the details 
have been governed by the experience of the manufac- 
turers obtained from the successful application of a 
similar class of drive on the New York, New Haven & 
Hartford locomotive. Due allowance, however, has had 
to be made for the increase in tractive effort. 

The cab structure of the locomotive, which also par- 
tially incloses and protects the main motors, contains 
the auxiliary apparatus necessary for the proper func- 
tioning of the motors. Enginemen's operating compart- 
ments are located at the ends, connected by aisles ex- 
tending along the side of the cab. All high-voltage ap- 
paratus is inclosed in compartments, so as to protect 
the engine crew while the locomotive is in operation. 
When the locomotive is "dead," however, easy access is 
afforded for the inspection and adjustment of all ap- 
paratus by removing the compartment sides and by 
passage through center aisles opening through expanded 
metal doors onto the cross aisles. 

Regeneration of power on down grades and in braking 
on these locomotives is accomplished in the following 



January 3, 1920 



Electric Railway Journal 



37 




PASSENGER LOCOMOTIVE EOR USE ON THE ROCKT MOUNTAIN DIVISION OF THE 
CHICAGO, MILWAUKEE & ST. PAUL RAILROAD 



manner: Control of the excitation of the main motors 
for regeneration is initiated manually by the operator 
from the master controller, the exciting current coming 
from two small generators geared to idle axles. The 
excitation of the exciters is secured from an indepen- 
dent source, a motor-generator set operating in parallel 
with a small storage battery. It is obviously necessary 
to have a separate source of excitation for the motors 
during regeneration because these must furnish char- 
acteristics similar to those of a shunt or separately-ex- 
cited generator for this purpose. All of the main mo- 
tors are used during regeneration. The exciters are 
automatically connected to the low-voltage auxiliary 
circuits during motoring, thus reducing the neces- 
sary size of the motor-generator set which is used in 
regenerating operation to supply these circuits. During 
motoring the motor-generator is called upon to furnish 
current for lighting the train, charging the train bat- 
teries, excitation to the axle generator fields, the control 
circuits and for charging the storage battery. One of 
the axle generators is mounted on the inside axle of 
each bogie truck. They are built like ordinary inter- 
urban railway motors, but are separately excited and 
are wound for 90 volts. 

The control of the locomotive provides three motor 
combinations, giving full series and two series-parallel 
connections. In the latter two connections there are two 




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-Jb - i 



parallel circuits of three motors in series and three par- 
allel circuits of two motors in series. In each of these 
motor combinations three running matches are provided, 
namely, full field, short shunt and long shunt. This 
gives a total of nine efficient speeds at the disposal of 
the engineman during motor running. While decending 
a grade, the excitation of the motor field is entirely 
under the control of the engineman, and may be in- 
creased or decreased as desired, causing corresponding 
increments and decrements in the regenerative effort of 
the locomotive. The speed of the train can thus be 
varied through any desired range. The full motor ca- 
pacity of the locomotive is available for regeneration. 
The locomotive with a given current will develop 15 to 
20 per cent more retarding effort during regeneration 
than tractive effort in motoring. On a 2 per cent 
grade it can hold about 60 per cent more load in de- 
scending than it can haul up the grade. On a 1 per cent 
grade it can hold more than double the load it can haul 
up. 

Power for energizing the control circuit and the oper- 
ation of the auxiliary apparatus, such as blower motors, 
the motor-driven air compressor, etc., when these are 
not being driven by the axle generators, is obtained from 
a small motor-generator set operated in parallel with a 
storage battery. The high-tension winding of this set 
is the only piece of revolving apparatus on the loco- 



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DIAGRAM SHOWING GENERAL ARRANGEMENT OF EQUIPMENT, DIMENSIONS, ETC., OF THE NEAV PASSENGER 
LOCOMOTIVE FOR THE ST. PAUL ROCKY MOUNTAIN ELECTRIFICATION 



38 



Electric Railway Journal 



Vol. 55, No. 1 



motive, with the exception of the main motor, connected 
to the 3000-volt circuit. The low-tension side is also 
provided with slip rings for the collection of low-volt- 
age alternating current for the headlights and certain 
of the interior cab lights. 

All main motor and resistance circuits are opened by 
means of electropneumatic, 3000-volt switches, which 
are standard for the Westinghouse unit-switch control. 
These are provided with powerful blowout coils to ex- 
tinguish the arc. Transfer of circuits where no high 
voltage current is to be broken is accomplished by means 
of cam-type contactor groups, adopted for the purpose 
of reducing space and weight by the elimination of the 
otherwise necessary unit switches. The control circuits 
of all unit switches" and cam contactor groups are inter- 
locked electrically to prevent false functioning of the 
apparatus. All unit switches, cam contactor groups, 
grid resistors, protective relays, etc., are mounted in 
the compartments as previously described. 

The center compartment of the locomotive is given 
up entirely to an oil-fired steam boiler, its supply tanks 
and auxiliaries. This boiler, which is for the purpose 
of heating the passenger trains, is capable of evaporat- 
ing 4000 lb. of water per hour. Two storage tanks for 
v/ater are provided, having a combined capacity of 25,- 
500 lb. There is also a tank for fuel oil with a capacity 
of 750 gal. This steam boiler also feeds radiators in the 
operating cab. 

The data for the locomotive are summarized in the 
accompanying table. 

DATA FOR ST. PAUL PASSENGER LOCOMOTIVE FOR 
ROCKY MOUNTAIN DIVISION 

Normal trolley voltage 3,000 

Total weight 275 tons 

Weight on drivers 336,000 lb. 

W^eight on leading trucks 66,000 lb. 

Weight on trailing trucks 41,000 lb. 

Total vi'heelbase 79 ft. 10 in. 

Driving wheelbase 16 ft. 9 in. 

Maximum rigid wheelbase 16 ft. 9 in. 

Diameter of drivers 68 in. 

Diameter of leading truck wheels 36 in. 

Diameter of trailing truck wheels 36 in. 

Locomotive capacity at 23.8 m.h.p. (one hour 

rating) 4,200 hp. 

LQcomotive capacity (continuous) at 80 per cent 

of above 3,360 hp. 

Normal starting tractive effort 100,000 lb. 

Normal speed on level track 55 m.p.h. 

Capacity of steam boiler, per hour 4,000 lb. 

Capacity of water tanks 25,500 lb. 

Capacity of oil storage tank 750 gal. 

Cab length 78 ft. in. 

Total over-all length 88 ft. 7 in. 



Fare Situation in Toronto 

THE National Municipal Review, which is publish- 
ing a series of articles on the fare situtation in dif- 
ferent cities, covers in its issue for November, 1919, the 
situation at Toronto and San Francisco. The article on 
San Francisco is written by M. M. O'Shaughnessy, city 
engineer, and relates particularly to the history and 
present condition of the municipal railway. The article 
on the Toronto system is written by the municipal editor 
of the Toronto Star. 

In Toronto the fares are still those provided in the 
agreement of 1891, namely: cash fare, 5 cents; tickets 
good at any time, six for 25 cents or twenty-five for $1 ; 
tickets good between 5:30 and 8:30 a. m. or 5 and 6:30 
p. m., eight for 25 cents. Since 1891, when these rates 
were agreed upon, all costs of operation have greatly 
increased. Wages alone have doubled since June, 1916. 
The company stock, which sold at 148 in 1913, has 
fallen to 42. The city has agreed to buy the property 
when the franchise expires in 1921, the price to be the 
valuation of its physical assets. 



New York Electrical Society Has Historical 
Meeting 

AT THE 377th meeting of the New York Electrical 
l\ Society held on Nov. 25, last, Frank J. Sprague spoke 
on the development of electricity for railway transpor- 
tation purposes. He spoke also of his own vrork at 
Richmond and on the Chicago South Side "L" and the 
New York Central electrification projects. 

In speaking of the future of railway electrification 
he called attention to the attitude of the French com- 
mission recently in this country to study heavy electric 
traction. The commission after inspecting the Chi- 
cago, Milwaukee & St. Paul and other electrifications 
was enthusiastic over the use of high-voltage direct 
current and believed that this system was the only one 
for future electrification. Mr. Sprague himself be- 
lieves that the economic performances developed by 
these locomotives will be even better than anticipated 
and predicts the use in the near future of a third-rail 
carrying 1500 to 1800 volts direct current, the use of 
regenerative control for braking purposes and the 
supply of power to the line when going down grade, 
the use of gearless motors and the interchange of pas- 
senger and freight locomotives. 

In speaking of the urban electric railways, he pointed 
out that the government had, by price-fixing methods, 
doubled the railways' coal bills, raised the wages of 
their trainmen through a special war labor board, and 
their equipment cost more than in pre-war days; and 
yet this is the only industry, said Mr. Sprague, that 
does not have direct control over the selling price of its 
one product — service. 

Referring to the New York situation, he said that 
while the subway system there is the most extensive in 
the world, it is now impossible to maintain the equip- 
ment in the safe operating condition demanded for the 
carriage of the ever-increasing hordes of people, and at 
the same time to carry them increasingly greater dis- 
tances for the single fare adopted at the tim_e the sub- 
way was opened. 

The Public Service Commission, he stated, was play- 
ing a lone hand, but nevertheless was using commend- 
able independent judgment against the city officials' dic- 
tum that, irrespective of existing conditions, no increase 
in fares shall be allowed because such would not be 
acceptable to the people. The average man, said Mr. 
Sprague, is disposed to deal fairly, and where differ- 
ences concerning public welfare arise between a trans- 
portation company and a city, it is incumbent upon each 
to approach the situation in an open-minded manner 
and with absolute frankness, so that the public can see 
fairly and understand the merits of the case. It was 
useless, so far as the attitude of the public is concerned, 
for the railway or the Mayor to issue independent re- 
ports on conditions. What was needed was for the Mayor, 
the Public Service Commission and the company to 
agree upon some body, composed of technical and finan- 
cial men, who will lay the facts of the case before the 
public. If the contentions of the railway are true, the 
public will accept this impartial body's solution. 

Mr. Sprague said that personally he had no patience 
with the threat of receivership or municipal operation, 
for it is impossible for any political party to get the 
quality of men necessary at the price a municipality 
would pay. The men who run a railroad, he declared, 
must have an incentive for which to work and must take 
pride in their accomplishments. 



January 3, 1920 



Electric Railway Journal 



39 



Some Thoughts From a Utility 
Leader of the South 




THOS. S. 



WHEELWRIGHT HAS STOPPED FROM HIS WORK A MOMENT TO TALK TO THE READERS OF THE? 

ELECTRIC RAILWAY JOURNAL 



An Interview with the President of the Virginia Railway & Power Company in 
Which He Discusses Franchise Relations, Labor Principles and One-Man Safety Cars 

By Harry L. Brown 



A MUNICIPALITY and a corporation bound to- 
together by a contract makes a most absurd part- 
nership, doesn't it? Just like two cats tied to- 
gether by their tails and thrown over a clothesline. 
They are partners all right, but their principal mutual 
concern is to get apart." 

In this characteristically epigrammatic manner, 
Thos. S. Wheelwright plunged into the task immedi- 
ately before him of answering my question about the re- 
lations of local governments with their utilities. His 
happy expression — "right away, please, sir" — used so 
frequently and yet so without irritation, in addressing 
his assistants, was now being applied to himself. His 
twinkling blue eyes and the smile-wrinkles around them, 
bespoke the generous sense of humor with which he is 
endowed and which has played a timely and important 
part in some of the tense, perplexing situations only re- 
cently confronting him. 

"You know as well as I," he continued, "that a con- 
tract which places all the responsibility on one party is 
a very poor working arrangement. That is about the 
way the electric railways have been hooked up. They 
were born wrong, I reckon, and as was said to Nicode- 
mus, ihe only way they can be fixed up is to be bom 
over again. It has almost been just fool nigger luck 
that they have gotten on at all. I am not surprised that 
the industry is in the present predicament; it's a mar- 



vel that it isn't worse off. This is the most respectable 
business on earth, and the most useful to the general 
public, yet it has been penalized on every hand all along 
the line. All the splendid economies that have been in- 
troduced were the outgrowth primarily of necessity — 
a question of life — and I reckon it will always be that 
way until the street railways can be extricated from the 
political atmosphere and history which has always en- 
veloped them. That can only be hoped for when the peo- 
ple shall come to understand that their municipal gov- 
ernment must be run as a business institution and not 
as a political plaything, and when such awakened gov- 
ernment shall recognize its responsibility to the people 
and will co-operate with the utilities to work out what 
is best, realizing their inseparable and common interests. 
The present municipal government, with all its ramifi- 
cations of councils and boards of aldermen, the numer- 
ous committees of each, and a politician for the business 
head instead of a business man, is just like a series of 
hurdles. You get over one and then there is another 
and another and another, and you never get anything 
done. Sometimes it is better likened to a series of toll 
gates." 

This last reference reminds me of something Mr. 
Wheelwright told me as we chatted over a lunch at 
his club, a lunch about which I remember in particular 
the corn cakes and syrup. They were delicious. Their 



40 



Electric Railway Journal 



Vol. 55, No. 1 



like never grew in the North. He was telling me how 
he happened to become the president of the Virginia 
Railway & Power Company, which supplies the electrical 
energy and transportation to practically the , whole of 
his native state. 

He had been serving Frank Jay Gould for some years 
as general manager and then president of the Old 
Dominion Iron & Steel Company, also located in Rich- 
mond and of which he is still the active head. Mr. 
Gould is also largely interested in the Virginia Railway 
& Power Company, and when William Northrop, the 
former president of this company, was killed in an 
automobile accident in 1912, Mr. Gould wrote from 
Europe offering Mr. Wheelwright the place. He replied 
in a very appreciative manner but declined to take the 
offer seriously, saying that a politician was perhaps best 
suited for that position. But when Mr. Gould returned 
to the States, he called Mr. Wheelwright to New York 
and they reached an understanding whereby the latter 
assumed the task of directing the affairs of the utility as 
well as the iron and steel company. A part of this 
understanding had to do, in plain language, with the use 
of any graft or hush money — a thing which is abso- 
lutely foreign to and irreconcilable with Mr. Wheel- 
wright's philosophy of life, as well as that of his 
predecessor, Mr. Northrop. 

"Since 1912," he said, "I have several times been in- 
formed — but that knowledge has not been sought — what 
the price was at the various toll gates, and I was glad I 
had had so clear an understanding as to the fixed policy 
of this company. But it's easy," he hastened to add 
with a broad smile, "to ignore a little thing like that 
when the man having the largest stake in the game had 
decided positively the only policy — honesty." 

Perhaps the above has some bearing on his ability to 
.leave all his cares at the office whenever he leaves it, for 
the utility business, strenuous as it is, causes him no 
worry. His work is his play, and about the only play he 
indulges in. It is his hobby. When he gets tired at the 
utility office, he goes over to the steel plant and that 
rests him, he says. 

Labor Principles Practiced by Mr. Wheelwright 

Just a few weeks ago, Mr. Wheelwright entered into 
a new agreement with his employees. This was the out- 
come of an extended series of long-drawn-out confer- 
ences, the president having determined to hear the men 
to the last word. Two clauses of this agreement at- 
tracted my attention particularly, the first and seven- 
teenth, as follows: 

1. That the established policy of the company to maintain 
an open shop will be strictly adhered to. By the "open 
shop" is meant that each individual employee is left free 
to exercise his own discretion as to whether he will join 
a union or not; that those preferring to act as individuals 
may do so, and those who wish to affiliate with an organ- 
ization have the same right; that the company will hear, in 
like manner and on the same basis, any grievances of any 
employee who presents his case alone, as well as of any 
group of employees who come together as employees to 
present their case. The parties of the second part (Amal- 
gamated Association) agree that they will at all times 
render proper and due assistance in breaking in new men 
in any branch of the service, whether they have signified 
their intention to join a union or not. 

17. All matters on which we cannot agree, except the 
matter of wages, hours and other questions affecting oper- 
ating costs, are to be submitted to arbitration. . . . 

I was greatly interested to know some of the back- 
ground for these clauses and Mr. Wheelwright answered 
my questions as follows a few lines below. His entire 



attitude toward employees is liberal and considerate. 
He has held himself in readiness to hear any employee 
or group of employees at any time by appointment, and 
he says: 

"Anyone who will not meet with his employees must 
have something to be afraid of." 

In reference to the agreement, he said : 

"There are three reasons for holding fast to the prin- 
ciples of this agreement. First, we cannot negotiate 
with any group except they be employees of the com- 
pany. Second, so long as they are our employees, we do 
not care what they call themselves, whether it be Odd 
Fellows, Knights of Columbus, Amalgamated Associa- 
tion, or what not. Third, we cannot possibly agree to 
the arbitration of matters involving expenditures unless 
the same arbitration board has the power to fix both the 
revenue out of which the wages are to be paid, and the 
wages." 

"Suppose you were up against the situation where the 
employees were strongly organized, where they were 
more influenced by^ radicals, perhaps, than they are here, 
and insisted on a closed shop?" I asked. 

"Well, there is nothing to do but quit." 

"But you can't quit for long and remain solvent," I 
persisted. 

"In that case, we would just have to ask for the pro- 
tection of the state and municipal authorities and. ask 
for volunteers to run the service under that protection." 

"In other words, you think there is no justification 
for anyone submitting to a closed shop?" 

"I cannot see any reason for so doing. To do so 
would be not only surrendering your own independence, 
but would be encouraging employees with other com- 
panies to do the same thing. I think you will agree with 
me that the test of a proposition is whether it is right 
or wrong. Personally, I have not had a great deal of 
trouble in deciding what was right. My difficulty has 
been when I did something wrong to make myself be- 
lieve it was right. That's where the problem comes in." 

"I am still thinking of the man," I persisted, "who is 
up against a deadlock on the closed shop principle. That 
has happened, has it not?" 

"Yes, that does happen. But in the first instance, we 
are working on a principle that is admittedly right. If 
somebody locks us out, we can very properly ask for the 
protection of our government. If our government falls 
down in protecting us in doing what is right, we have 
not a government that is worth a damn." 

It was my understanding that the wage increase 
granted as part of the recent settlement had been made 
on the basis of a division of the surplus for three 
months, and assuming that the rate of surplus would be 
earned during the succeeding months of the agreement, 
I asked if that was true. Mr. Wheelwright said : 
' "Yes, but we did not make the profit-sharing plan a 
part of the agreement, because our company had not yet 
decided on that policy." 

"Have you formulated any ideas on how a profit-shar- 
ing plan could be worked out in the electric railway in- 
dustry?" I asked. 

"Well, that is pretty well covered in Mr. Ashburner's 
plan," he replied. "There is no diflRculty about it. You 
can make a showdown, say at the end of every six 
months, and then work the profit-sharing plan on a per- 
centage basis. One, of course, has to start; somewhere, 
and, having just given a raise of 5 per cent, that is my 
starting point. Now, when we make up our books on July 



Jammry 3, 1920 



Electric Railway Journal 



41 



1, if we find we have made an amount over and above all 
charges for capital and depreciation that would give a 
distribution of 5 per cent, instead of making the dis- 
tribution in a lump sum, we would increase the pay of 
each man 5 per cent for the next six months. If in the 
next six months we do not have an increase, why we 
would chop it off. Of course, my company has not yet 
given its approval to such a plan, but I think that is 
working in the right direction." 

The plan of Charles E. Ashburner referred to above 
is one which he, as City Manager of Norfolk, Va., re- 
cently presented to the City Council. It provides that 
any excess revenue after depreciation and dividends 
on preferred and common stocks, shall be divided equally 
between the city, the common stockholders of the com- 
pany, and the employees below and including the posi- 
tion of superintendent. The details of the application of 
this plan have not been worked out as yet, but the com- 
pany is in accord with the general provisions. 

Service-at-Cost and Other Features 

Discussion of this ordinance led to mention of the 
service-at-cost franchise and on that form of grant Mr. 
Wheelwright had this to say: 

"There is no more reason why the principle of ser- 
vice-at-cost should be applied to street railways than to 
beefsteak, as the capital obligation of the company is 
probably represented by the bonds and stocks in the 
hands of the public. The only reason it is being done is 
because the railways were born in a political atmosphere. 
But I believe the public is going to look at this matter 
differently in time, especially with the coming of the 
commission form of municipal government." 

"Do you believe the people would ever be willing to 
have a public utility earn more than what is considered 
a reasonable return on the investment?" I interposed. 

"I believe that when a more compact city government, 
a real business administration, becomes thoroughly ac- 
quainted with its responsibilities it will realize that a 
reasonable return on such a hazardous business as we 
have should be more than that on a 6 per cent real es- 
tate mortgage. The hazardous nature of our business 
is generally overlooked. For example, what other busi- 
ness finds it necessary to set aside 5 per cent of its gross 
earnings for accidents and damages. What is reasonable 
is what will induce capital to invest in the business." 

"Your situation here locally is probably better than 
that existing with a majority of companies, is it not?" 

"Well, I don't know about that. In fact, I do not have 
much chance to see what the other fellow is doing and 
how he is fixed. My job keeps me so busy that I am like 
the rat about to drown in the milk can trying to keep 
his nose above the milk by churning enough butter to 
hold him up. He hasn't time to see what the other rat 
is doing." 

"The only way in which to get the industry on a basis 
where it will earn a reasonable return on the capital in- 
vested is through a revamping of public opinion. Peo- 
ple realize we must have a more efficient government. 
The present form of boards of aldermen and councilmen 
is archaic. 

The nickel fare is still the rate in Richmond, so it is 
not surprising that the Virginia Railway & Power Com- 
pany has been giving very broad attention to a system 
which has such marked effect upon operating costs and 
earnings as does the one-man safety car. Thinking of 
costs has been a habit with Mr. Wheelwright. Speaking 
of this trait of his, he said : 



"There never has been a time when I did not know 
the cost of a barrel of flour. I was bom here in Vir- 
ginia just after the war when everything was high. 
Materials were very scarce, I reckon. Only weighed 
three pounds, myself." 

The original installation of safety cars made by Mr. 
Wheelwright was in Norfolk where the natural course of 
events was complicated by the overwhelming growth of 
the community due to war activities and by the addition 
of another party, the United States Housing Corpora- 
tion, to the city-public-labor trio which must ordinarily 
be dealt with in such an installation. The trial instal- 
lation brought a host of troubles and the cars were taken 
off, though the reasons for the removal have been ob- 
scured. I sought light on the cause of this apparent fail- 
ure and Mr. Wheelwright explained the circumstances, 
making clear that the failure was no fault of the cars. 
He began with the history of the case. 

"Early in the fall of 1918, before the armistice was 
signed, we were up against it for equipment to fur- 
nish the necessary service for the government activities 
in Norfolk and Portsmouth. The authorities insisted 
that more equipment was necessary and we, of course, 
knew it. To help out in the situation, the government of- 
fered to advance us the money to purchase fifty one-man 
cars for Norfolk and Portsmouth. We agreed to accept 
the loan of the money — approximately $300,000 — which 
was to be paid back in installments, the first payment to 
be made one year after declaration of peace, which has 
not yet occurred. We stipulated in that contract, how- 
ever, that we would agree to the arrangement provided 
the city authorities of Norfolk and Portsmouth would 
permit the use of this class of equipment, because we 
knew that our franchises required the employment of a 
motorman and a conductor on each car. 

"Before the cars were delivered, the armistice was 
signed and the Housing Corporation undertook to get 
the city authorities to permit the use of these cars. The 
city then asked that the cars be given a trial. This 
raised a great issue in both communities, and there was 
some opposition because the city authorities did not feel 
like taking the initiative in putting on a car that they 
did not know for sure would be acceptable to the public 
— a rather reasonable position, it seemed to me. The 
Housing Corporation, on the other hand, said it could 
not put the cars out on trial, as this would make them 
second-hand. 

"We then proposed to the Housing Corporation that 
if it would let us use the cars anywhere on our system, 
we would accept them. This it did. However, the ques- 
tion got to be such a hot issue, and sundry viewpoints 
were so vehemently expressed by representatives of 
labor, the public and others, that the Councils of both 
Norfolk and Portsmouth turned the cars down. We 
then brought them to Richmond and Petersburgh where 
the people took to them and so far they have been very 
satisfactory and are highly indorsed, and w^e have pur- 
chased for .early delivery thirty additional safety cars 
for Richmond." 

"Was the consideration of the negro involved?" 

"Yes, the car was said not to be a very satisfactory 
form of equipment for handling negroes, but to ease that 
point as much as possible we put the cars on the lines 
where we had a minimum of negro traffic." 

"How did the people of Norfolk and Portsmouth ex- 
press themselves about the cars?" I asked. 

"The people liked the cars and expressed themselves 
freely as being greatly pleased with them and with the 



42 



Electric Railway Journal 



Vol. 55, No. 1 



service they afforded. They even circulated a petition 
in Portsmouth and secured 1200 signatures requesting 
the Council to continue the safety cars in service." 

"Then the Councils took the action of removing them, 
you might say, in contradiction of the people's wishes?" 

"Well, I would not like to say it as strong as that," 
Mr. Wheelwright answered, "for the Councils were 
seriously attacked by the labor organizations, and both 
cities have a recall system effective upon the petition of 
a surprisingly few people, and this action was openly 
threatened. By the labor opposition mentioned, I do 
not mean our own employees. They liked the cars." 

"There has been lots of talk, but I do not really think 
the safety car has had any 'bump' because it was not 
adopted in those two cities. There were very difficult 
conditions at the time. I do not feel the least bit dis- 
couraged as to the future of the safety car. I believe it 
is the ultimate unit for handling passengers by trolley 
inside of cities. And I am not so sure that it would not 
be just as well on the outside." 

"On interurban lines?" I queried. 

"Yes. On our interurban we have our money in 
very good equipment, and, while we might save money 
by the operation of the safety cars, they cost as much 
now as the standard cars did a few years back." 

"But they would soon pay for themselves from the 
saving." 

"That is true, but we have got to get the money from 
somewhere with which to buy them." 

Some Other Things Mr. Wheelwright Has Done 

While Mr. Wheelwright is one of the younger officials 
(in years of service) with the Virginia Railway & Power 
Company, he jokingly claims to be the oldest in experi- 
ence among them. In this connection, I remarked: 

"You were associated with Frank J. Sprague when he 
built his first commercial electric line here in Rich- 
mond, were you not?" 

His answer was typical: 

"Oh, I was only a livery horse for Mr. Sprague — a tin 
can that you fill up and empty out again. But, of course, 
I could not help but absorb some of the fundamentals." 

He had served as a stenographer during those trying 
development days of the electric railway, and he ex- 
pressed great admiration for the work done by Mr. 
Sprague. He said that the venture cost Mr. Sprague a 
fortune, but his nerve to see the thing through put the 
industry ahead ten years. Mr. Wheelwright has great 
admiration for that attribute of some men which can 
only be described by the homely expression of having 
the "guts" to go ahead and do a thing, no matter how 
many unsuccessful attempts are made. He once spent 
ten years in Chicago with the Gray Telautograph Com- 
pany trying to develop a commercial telautograph, meet- 
ing with one failure after another, but finally achieved 
his goal in the product now made by the American Tel- 
autograph Company. 

His experience in Chicago was finally successful, but 
he could not remain longer away from his native soil and 
so determined to return to Virginia and "put a pin in 
the ground and vibrate around that." So he bought a 
small farm 12 miles out of the city which now bears the 
name of "Buckhead Springs," and settled down there 
with no job in sight. He has lived there ever since. 

The interurban line to Petersburg runs past his farm 
and he always rides the cars back and forth. This is 
his contact with the actual operation of the cars, and he 
considers it invaluable to him. 



Mr. Wheelwright began his career by spending five 
years at Randolph-Macon College at Ashland, Va., in 
learning stenography and French and German, prepar- 
ing himself, as he thought, to take an active part in the 
export business and making Norfolk one of the great 
world seaports. This, it seemed to him, was the future 
of that city. 

"Thus prepared," he said, "I went to Norfolk and, 
after long search, found that there was not a place in 
tovsTi for a man of my training, and I was finally forced 
to take a job as a bookkeeper at $50 a month, something 
about which" I knew nothing. But the joke was on Nor- 
folk, not on me. My geography was all right but the 
town had ngt realized its opportunities, but what I fore- 
saw for the city then is now actually coming true." 



American 




American 


St.^^— [-^^Ry. 




STj^^^-^^Ry. 


^ "^ 




0° y "^ 


% * M 




%. '> ^ 






^^§l\^ 


FARte Check 




Fare Check 


ISSUED COLLECTED 




ISSUED C^JLlECTED 


BY NO. BY NO. 




BY NO. BY NO. 


57 




57 143 


PASSENGER WILL HAND 




PASSENGER WILL HAND 


THIS CHECK TO CON- 




THIS CHECK TO CON- 


DUCTOR AND PAY FARE 




DUCTOR AND PAY PARE 


WHEN LEAVING CAR 




WHEN LEAVING CAR 


05109 




05109 


AMOUNT OF FARB 




AMOUNT OF FARE 


WILL BE INDICATED BY 




WILL BE INDICATED BY 


ARROW STAMPED BY 




ARROW STAMPED BY 


CONDUCTOR'S MACHINE 




CONDUCTOR'S MACHINE 



True Mileage Fare Collection 

APPLICATION has been made by Albert S. Richey, 
L of Worcester, Mass., for a patent covering a new 
form of ticket stamping machine that can be used 
in collecting zone fares based on distance traveled. The 
plan in general provides that two synchronously operated 
machines be used. 

The first or issu- 
ing machine may be 
under the control of 
either the motorman 
or of the conductor 
and has a revolving 
dial which prints on 
the ticket as issued 
relatively the point 
at which the pas- 
senger boards the 
car. At the same 
time the machine 
stamps a serial num- 
ber on the ticket as 
well as the motor- 
man's number in the 
position shown. The 
second machine is 
in charge of the 

fare collector and has a rotating indicator ar- 
row which revolves in synchronism with the rotating 
dial on the issuing machine. The ticket held by 
the passenger when inserted in this second ma- 
chine is stamped with an arrow which shows either 
miles traveled by the car since the ticket was issued 
or how much fare is due to the conductor for the ride 
taken. The collector's number is also stamped on the 
ticket at the same time. 

The illustration shows at the left the ticket as issued 
and, at the right, the appearance of the ticket if the 
passenger left the car after he had taken a ride worth 
9 cents. In the case shown, the disk indicates the fare 
to be paid and not the distance traveled. 

As will be seen, the design of the machine is such 
that fares may be in even amounts per mile or per 
fraction of a mile, or an initial charge may be made 
greater than the unit of subsequent increments. 
Changes in rates may be made by changing only the disk 
which prints the dial on the ticket when issued. The 
tickets as collected can readily be audited. 

In contrast with systems having fixed zone points, 
this plan allows each passenger his full initial fare ride 
irrespective of his boarding point. 



AT LEFT, TICKET AS ISSUED 
PROM MACHINE. AT RIGHT. 
TICKET AS STAMPED BY MA- 
CHINE IN CHARGE OF FARE 
COLLECTOR AT ALIGHTING 
POINT 



January 3, 1920 



Electric Railway Journal 



43 



Unlimited-Ride, Transferable Weekly 

Pass at Racine 

An Experiment in the Sale of Street Railway Transportation to Promote Frequent and Frictionless Riding 
— Why a Pass Is Being Tried in Preference to Other Special Rate Plans — How It Is 
Advertised and Used to Further Better Public Relations 



Is it possible to restore the old-time zest and flavor? 
Other competitive businesses have done so. The old- 
fashioned drugstore, when the population became too dis- 
gustingly healthy to require patent medicines and a few 
prescriptions, blossomed forth with soda, candies, cigars 
and minor household furnishings. The Yankee notion cor- 
ner was transformed into a 5 and 10-cent store; and the 
barber shop, threatened with rapid extinction by the safety 
razor, transformed itself into a beauty parlor and raised 
its prices besides. Is the industry lacking in constructive 
imagination, or is the trolley ride as prosaic as a postage 
stamp which it does not pay to flavor to induce use? The 
low number of rides per capita — less than one ride per 
day — indicates a minimum of patronage and absence of 
convenience or pleasure riding and a dearth of salesman- 
ship. We call it "the riding habit" — a proper designation. 
Riding is habitual or forced rather than attracted. . 
There is some solution awaiting the genius of salesmanship. 

THE foregoing quotation from the paper: "Can 
Service Costs Be Collected From the Traveling 
Public?-' presented by J. D. Mortimer, president 
North American Company, before the 1919 convention 
of the American Electric Railway Association sounds 
the keynote of this article. This quotation is all the 
more appropriate as the Milwaukee Electric Railway 
& Light Company, of which Mr. Mortimer is also presi- 
dent, has pioneered in two important ways of selling 
transportation. It was Milwaukee which inaugurated 
a zone-fare system as early as January, 1914, and it is 
in successful use to-day as described in the Electric 
Railway Journal for Sept. 27, 1919. So, too, it is the 
Racine division of the Milwaukee company which is 
the first in this country to try the unlimited-ride pass 
hereinafter described, zone fares not being practicable 
at Racine because of the shortness of the routes and 
the character of the present headways. 

Various Fare Schemes Were Considered 

Before the pass idea was adopted in Racine consider- 
ation was given to the experience of foreign roads in 
successfully building up short rides and in improving 
their load factor. Due thought was also given to the 
several expedients that have been tried or suggested in 
the United States, such as wholesaling tickets, off-peak 
hour tickets, club membership tickets, limited-ride 
tickets, etc. The plan of a weekly pass finally approved 
for trial is a modification of the British season or con- 
tract ticket, and was suggested by Walter Jackson, who 
had been engaged by the company to devise a plan to 
increase the riding on the property. It is interesting 
to add that Bruce Cameron, former general super- 
intendent United Railways of St. Louis, independently 
reached the same conclusion in working out a plan for 
the county lines of St. Louis. 

In addition to the comparisons of fare schemes which 
follow, it should be stated that Racine is a city of about 
50,000 population, of whom some 18,000 are in fac- 
tory, office or store employment, and that a large pro- 
portion of this labor is well paid, as proved by the fact 
that Racine has 8000 telephone subscribers, of which 



number about 7000 are residence subscribers. There 
are few large stores, owing, probably, to the nearness 
of Milwaukee and Chicago, but there are several excel- 
lent theatres to induce night travel. The shopping and 
pleasure district is roughly 2 miles from the outskirts. 
Hence a good deal of walking is to be expected unless 
the fare and service are held by the public to be satis- 
factory. At the present time, with two men per car, 
the shortest headway exclusive of rush-hour trippers is 
nine minutes. Other headways are ten, twelve, fifteen 
and twenty minutes. These headways should be borne 
in mind in the consideration of any scheme for inducing 
traffic. The shorter the headway the greater the propor- 
tion of population to which the railway can be of every- 
day utility. To-day, obviously, persons within one mile 
from the shopping and pleasure center, and that means 
more than half the population, are not good prospects 
for the street railway. 

At the time the pass was installed the single-trip fare 
in Racine cost 6 cents cash, and a 6-cent metal ticket 
was sold at full price. There was also a workman's 
metal ticket sold at ten for 55 cents, or 54 cents each, 
good between 6 and 8 a.m. and 5 and 7 p.m. Children 
between the ages of three and ten years rode at half 
price. Transfers were free. By a ruling of the Railroad 
Commission in the latter part of November, 1919, the' 
company was authorized to increase its cash fare to 7 
cents and to sell six tickets for 35 cents and to discon- 
tinue the sale of workmen's tickets. Up to that time, 
during 1919, about 5 per cent of the passengers rode 
on workmen's tickets and between 4 and 5 per cent 
presented metal tickets sold at full price. These facts 
were considered in the adoption of the final plan, in 
which one of the principles sought was to simplify 
rather than further to increase the work of the con- 
ductor. The principal schemes considered were as fol- 
lows: 

Wholesaling Tickets: An intensive selling campaign, 
including house-to-house canvassing, it was recognized, 
might have greatly increased the sale of metal tickets 
if some cut rate had been offered. This would have 
tended to encourage riding, since a ticket in the pocket 
is money already spent and would have relieved the con- 
ductor in making change. The objections to this plan, 
however, were considered to be as follows: First, since 
the principal buyers of tickets would be people with a 
fixed riding habit, the advantage of a reduced rate 
would be enjoyed chiefly by those who as long-ride, 
rush-hour, compulsory riders were already getting their 
money's worth and more; second, the company was 
already selling a 5J-cent ticket good during the chief 
peak hours; third, a variety of fares tends to confuse 
the conductor and his accounts. 

Cheaper Off -Hour Tickets: Another way that was con- 
sidered and has been tried to a lesser extent is that 
of selling so-called shopper's tickets good only between 



44 



Electric Eailway Journal 



Vol. 55, No. 1 



the hours of say 10 a.m. to 4 p.m. The objections to 
this were: First, a further complication of tickets for 
conductor and auditor; second, any ticket with a time- 
limit feature would, like a transfer, be another source 
of friction between the rider and the conductor — as 
when a woman wanted to argue as to why she could not 
board at 9.55 a.m. or 4.10 p.m.; third, should safety car 
operation be introduced, it would be most undesirable 
to slow up the car through having a variety of fares. 

Street Railway Club Scheme: Mr. Schaddelee of Grand 
Rapids, Mich., it will be recalled (Electric Railway 
Journal, April 5, 12 and 19, 1919) , has suggested what 

might be term- 
ed a membership 
plan. Those who 
pay a fixed sum 
per annum or 
per month would 
be entitled on 



THE ONLY WAY 

To Reduce the Cost 
of Living Now 



fTc 



Some da/ thf governmc(iE may find a simple mcihod of reducing tlTe 
>.l-of living II hasn't yet, tiowcvcr. The onty way open lo the averai;( 
mity~is lo buy e(:onomi'ciITy.~TD"TraV econoitiically, Vou Wus! Pis 
:>re in person In ihe past, that has meant added expense for sire 
■e Bui since the establishment of the Weekly J Paw you 

Needn't Pay 6c Car Fare 



Has ii been explained lo ^nu ' Everv conductor and many merchants 
/ K^c on, sale Ihe Weekly $ Pass It ii. an unlimited ride uckct, good 
m Mondaj morning untirtbc ni-xt Sifnday inianlgirt on-any STrWT ftT.' 
y person can use you. pass, one pass does for rhe whole family, pro- 
cd ihe> all donl want to ride at the same time. The pass costs $1. and 
J, can ride 100 times — or 1,000 times for ihaijitatlei — on it if you do it 
-I'ng the 3evcn days for which the Weekly {"Past is issued 

1,100 Used In Racine 

More ihan a lliousand Racine people buy ihcsc passes c.ich week 
e men go 10 work on them They come hume to lunch The real of 

lamily u^e them in 'hopping hours, in the evening and on Sun- 
/ Group^ ol clerks downtown have bought them for (heir joint use. 

Good Street Car Service 



1 delay. the people loMo' 



wliile Me makes chaoge i 
ing 'pecded up. There i 



Free Rides to tiie Movies 



t more ihin ihe $1 cojf 6'ai of ndmg in the day- 
evenmg rides and ) ■mr Sunday inpS, are really 
J people who ha-e had'tu forego the pleasure ol 
an adderi too much to Llje cost of -the enienam- 



Go Home For Lunch 



and go Foilfe 



presentation of 
a pass to pay 
a cash fare of, 
say, 5 cents, 
while all others 
would pay, say, 
10 cents. This 
plan was also 
considered, but 
it was rejected 
because it was 
thought to dis- 
criminate 
against the cas- 
ual rider who 
may or may not 
be a frequent 
rider. As in the 
case of whole- 
saling tickets, it 
was believed that 
the person who 
must ride twice 
a day will be the 
one most likely 
to go to the 
trouble of sign- 
. ing up monthly 
or annually. On 
the other hand, 
a woman who 
may be taking 
more trips (and 
shorter ones) 
during the week 
than rush-hour riders, but at irregular intervals, might 
be unwilling to go to this trouble. At the same time, 
she would resent paying a higher fare per trip and 
therefore would ride less and telephone more. 

Theoretically, in the opinion of those who worked 
out the Racine plan, the casual rider costs the railway 
more than the regular rider; actually, he does not so 
long as the casual riders do not fill all the seats offered 
during the hours when a base schedule must be given 
in any case. There is also, in their opinion, a further 
disadvantage in charging the casual rider a higher 
rate, namely, in arousing the antagonism of the busi- 
ness and amusement interests of the community. Many 



Try a Weekly $ Pass Today 

Ti> ih.s Urekly $ P.^•^ nuw Avk ih< ..MrKliictor ab<..til it No oni 
iJu. hj- b.'ughi onP has fjiled lo do *.u a;;4in It, look* now as 4.hoogh i 
If III iijlie ihe pitjbliT^ ot cheap iran-i^ottaiion by inip'easinK traffic ant 
ifln-fnc. 



THE WEEKLY t PASS FOR NtXT V/EEK IS NOW ON SALE 



T. M. E. R. & L CO. 



THIS IS AN ENTICING ADVERTISE- 
MENT OF THE PASS 



casual riders are on shopping or pleasure bent. Even 
the woman who comes into the city but once a week to 
buy a bill of goods is so welcome to the merchant that 
he would rather pay her fare himself than have her 
sour on the town because of a discriminatory fare. It 
does not seem good public policy,therefore, to make the 
discrimination against the casual rider too glaring. 

The club plan, it was thought, is also but slight relief 
to the regular rider in so far as his fare transactions 
are concerned. He may have less trouble about getting 
change, but he must still go through a cash transaction 
every time he boards the car, ask and perhaps pay for a 
transfer (unless he has a special pass) if needed and 
also have the bother of signing up or remitting monthly 
dues. Nothing is gained from the viewpoint of the 
conductor because he still has a transaction with each 
passenger and still has a variety of fares. From the 
financial viewpoint, there is the further difficulty to the 
company of distinguishing between the passenger who 
pays a reduced rate and one who pays the full rate. 
For these reasons, the club plan was not tried. 

The Weekly Unlimited Ride Pass Adopted 

Fundamentally, it did not seem wise to offer a reduced 
rate to unprofitable, compulsory riders or to do any- 
thing that would complicate the system of fare collec- 
tion. The exigencies of the case seemed to be best 
answered by a modified form of season ticket or pass, 
the cost of which would be more instead of less than the 
regular cost of two rides a day. Thus it became pos- 
sible to argue with the prospect in this wise: "We 
cannot afford to reduce the cost of your rush-hour rid- 
ing, but we may be able to give you any additional, non- 
rush hour riding at a slight increase over what you are 
now spending. Today, you are paying 72 cents for 
twelve rides a week. We are going to offer you an un- 
limited number of extra rides for only another 28 cents. 
In this way we hope to make 'any car your car any 
time' for shopping, social and amusement travel, for as 
short a ride as you care to take in bad weather, etc. 
We are anxious to make our service of the greatest pos- 
sible use to you, and you can help us by this plan of 
filling seats now empty." 

The first idea with regard to the pass was to limit 
it to a fixed number of rides per week and to limit it to 
the original purchaser. But to have limited the number 
of rides would have compelled the car operator to punch 
the ticket, thereby losing time and bothering the pas- 
senger. A ride limitation, unless very high, would not 
have eliminated the transfer nor encouraged short rides 
to the same extent as an unlimited-ride pass. As for 
confining the ticket to the original purchaser : This 
would have done no good at best because it is practically 
impossible to identify the street car rider; nor was 
there any desire to limit the use of the pass in this 
way. The fact that the pass is transferable was con- 
sidered the best argument that could be used with 
people who could not see how they could get $1 value 
out of it. In other words, it was thought that they 
would be far more likely to buy a pass when told that 
they could go a-shopping or to the theater on it after the 
pass has been turned in by one of the school children 
of the family. This is but one of many possibilities. 
Practically, of course, most pass ovsmers must keep it 
for their own use ; else they would have to pay real cash 
on boarding the next car. 

The unlimited-ride weekly pass now in use is good 



January 3, 1920 



Electric Railway Journal 



45 



from Monday morning to Sunday midnight. Its holders 
merely flash it as they step aboard, the conductor read- 
ily recognizing it because of the color and number used 
for any given week. The numbers are more than 2 in. 
high. The only work the conductor has is to ring up 
each pass as presented. 

The period of one week may seem unnecessarily short, 
but it was realized that Americans are not acquainted 
with the value of unlimited-ride passes. It hardly 
seemed likely, therefore, that people would be willing to 
put up, say, $4 a month for something that they can take 
or leave at the rate of 6 cents a ride. A dollar a week 
might be expected more readily in view of the fact that 
even the workmen's limited-hour ticket called for an 
advance purchase of 55 cents. When greater familiarity 
with the uses of such a pass has been gained by the 
public, the company can consider selling it on a monthly 
basis. Indeed, it has been considered to be feasible, 
particularly when the same company handles lighting 
and power, to bill such transportation by the month. 
Then the patron would have to exert initiative to stop 
the pass, whereas now he exerts initiative every week 
to buy the pass. The psychology of this needs no ex- 
planation. 

Almost all sales of the pass are made through the 
conductors, who receive a commission of 2 per cent. 
The merchants, with whom the passes were placed for 
sale on the sajne basis, did not manifest much interest 
until they were shovsm how increased sales of passes 
would stimulate riding and that this in turn would 
benefit them. The passes are placed on sale on the 
Thursday morning preceding the week (Monday a.m. to 
Saturday midnight), for which they are valid. None 
is sold for the current week after Wednesday. 

Selling the Pass Idea to Platform Men, Business 
Men and Public 

In making so great a departure from current fare 
charging practice, it was necessary to see that every- 
body at interest understood the purpose of the pass as 
affecting him personally. Following a preliminary news- 
paper advertisement and a simple car card and store 
card, the pass was allowed to work out its own salvation 
for a few weeks to see whether any serious technical 
defects would develop in practice. Passes were first 
placed on sale during the week of Aug. 18. A number 
of talks, as outlined in the following paragraphs, were 
given one month later, and newspaper advertisements 
were begun the last week of September. 

Of course, the first people to sell were the salesmen — 
the conductors. At smokers given to both the night and 
day men, they were advised concerning the advantages 
of the pass to them personally. They would have but 
one transaction a week instead of a dozen or more with 
each passenger. A pass holder would never bother them 
about change or about misuse of transfers. With the 
coming of bad weather, they would appreciate more and 
more this means of assuring the quicker closing of the 
doors and of minimizing unpleasant discussions with 
passengers. Compared with the work of conductors on 
zone systems they had had a fairly easy time, despite 
the 6-cent fare and the time-limit transfer. It was the 
endeavor of the company, however, to make matters still 
easier for them by means of the pass. Since they were 
to be the chief salesmen, it was desirable also to tell 
them of the advantages of the pass from the passenger's 
viewpoint. They were also advised of other special fare 



schemes which had been considered but rejected as mak- 
ing more work for them. Under the new plan, metal 
tickets and cash would be registered through the fare 
box, while each presentation of a pass meant nothing 
more than a pull on the register cord. 

Merchants were seen both individually in their stores 
and collectively before the Rotary Club and other busi- 
ness organizations. Thei-e were frank talks on the elec- 
tric railway financial problem as a whole. It was pointed 
out that railways had to have more money. This might 
come either through higher unit fares or through more 
travel during the off-peak hours. Increased fares were 
injurious to their interests if they resulted in reducing 
riding. Contrariwise, more off-peak riding was of the 
greatest possible benefit to them. This company was 



Tbe MQwauSce* Electric ibdlway «ii4 L($M Commv 

WEEKLY PASS 

flctalief 6,10 fletoier 12, 1919 (fBci.) 

Pass bearer on cars «f The Milwaukee Kectric RaUvray and U^t Com- 
pany wfthin the one (are limits of the Cily of Racine for a period of seven 
(7) days as sbo*m by dates on the face of this pass. 

Pass miwt be shown Condtictor iqx>n eiitering car and i» good only for 
one ( I ) passengar. 

Company reserves the right to taJce up and refund pro-rata 'untised value 
■s pass. 



No. 



1217 



••RESIDENT 



•fhe-J^HIjl 


^4^ 


gH 


|Hk Company 


Qmm ^M 


^ 


^^^^'^ 


^ISdncl.) 


Po - 

7 ) d3vs a*i showfs bWjJP 


9th 


iJp^l 


HH^r a pMod of seven 


Pi»<s mmt >'«*1>|H| 


tact 


m^. 


[B^Hnd is so<:>d-nnly fur 


No. ^22 1 


^^ 


i 


|H|Hi>4^ta unusod vaiue 



SAMPLE PASSES — THE PASSES NOW HAVE THE RED 

SURCHARGE NUMBER, INDICATING THE WEEK 

FOR WHICH THE TICKET IS VALID 

anxious to get more revenue through increasing rather 
than decreasing the usefulness of the railway. The 
weekly unlimited-ride pass was an experiment along 
those lines. While the sale of the pass lay largely with 
the conductors, the merchants could help by permitting 
the display of advertising cards in their show windows 
and of advertising inserts, as in the case of the Liberty 
Loans, in their sales announcements. 

As an example of what many pass holders meant to 
the cause of better local shopping, a parallel was dra\vn 
between telephone and personal buying. People who 
telephoned bought less because they did not see things 
to arouse their desires and because the merchant had no 
chance to use his salesmanship. A woman who tele- 
phoned naturally could not carry any of her purchases 
home; whereas she would surely carry some of them 
home if she came in person and could ride from store 
to store without extra carfare. Finally, a pei-son who 
bought goods personally would return less goods as un- 



46 



Electric Railway Journal 



Vol. 55, No. 1 



suitable. The weekly pass would encourage riding also 
by making it frictionless, as through the elimination 
of the feeling that money was being spent and of argu- 
ments concerning transfers, etc. If a trolley ride had 
no unpleasant associations, it would be taken oftener. 
It was needless to tell them that the automobile could 
not replace the trolley car, for there wasn't room for the 
parking of even half a dozen cars before their stores. 
In every case, the merchants said they would be only 
too happy to cooperate in an enterprise that affected 
them so closely. 

A similar line of argument was used with the moving 
picture men. They were advised in addition that the 
people hardest to sell were the workmen who did not 
have the opportunity at present to ride home to lunch. 
If they could be induced to do more riding to the movies, 
it would pay them to buy a weekly pass. For example, a 
person going to a 22-cent show might change his mind 
if he figured that there was another 12 cents to add just 
for carfare, and the going of a family would be influ- 
enced still more by a factor of this kind. All the movie 
people interviewed said they would gladly give the use 
of their screen for advertising slogans. In fact, one 
merchant who owns the largest theatre in Racine said 
that he would not advertise his own store on the screen, 
but he would advertise the pass because it meant more 
business for the theatre. 

The advertising campaign with the general public is 
now getting under way. This is to comprise newspaper 
advertisements and a variety of car cards and dasher 
signs appropriate to the season. The man in the street 
will be urged to ride on a pass, and the man who is 
riding now will find a sign ov^ the farebox concerning 
the futility of bothering about change and transfers 
when the pass would wipe out such annoyances! 

Popularity of the Plan 

The sales of the pass during the week of Aug. 18 
approximated 800 and for the week ended Dec. 20 they 
had risen to 2,024. For the week of Nov. 7, 19.7 per cent 
of the rides were taken on passes and 13.8 per cent 
of the revenue came from passes. The average revenue 
per ride from pass holders was 3.7 cents compared with 
5.93 cents per revenue passenger and 5.17 cents per ride 
from all passengers. The 3.7 cents per ride on passes 
must be interpreted in the light of these facts: First, 
that as pass holders need no transfers they are always 
registered as revenue riders, so the 13 to 15 per cent 
dilution due to transfers does not show in this figure; 
second, when a child below twelve uses a pass the 
revenue per ride is greater than the single-trip fare of 
3 cents; third, pass holders naturally want to get 
maximum returns, and therefore ride short distances 
that a unit-fare customer would walk. 

The average number of rides taken daily per pass 
holder for the period named was 4.1 and for Sunday 2.4. 
Of course, the price of $1 a week is purely experimental 
and might be increased if it was found to injure the 
earnings. However, gross earnings at Racine were 
climbing up for several months before the introduc- 
tion of the pass, and as they are still rising one cannot 
say whether the pass is hurting or helping. In any 
case, the pass seems to be fulfilling at least part of its 
purpose in making street car riding more popular, 
although there has been no increase in service. 

Although the idea of the pass has met the hearty 
approval of the newspapers, the business men and the 



public, the number of pass holders is still far below 
the possible maximum. For this a number of reasons 
are apparent. The idea is new and has to work its way 
into the consciousness of the public as a whole ; publicity 
must be continued by the railway over a period of 
months as persistently as by the tobacco manufacturer 
who can find sales arguments for mixing tobacco with 
chocolate or toasting it; shorter headways than nine or 
twenty minutes will make new street car riders or more 
frequent street car riders out of people who are now 
within a walking radius; lengthening of the luncheon 
period by manufacturers will also be a big factor, once 
the manufacturers and their employees understand that 
lunch-hour riding costs next to nothing and is coupled 
with short-headway service. It is also a fact that the 
pass has hardly had the advantage of being exploited 
in connection with winter weather, although pass hold- 
ers have been seen to ride only two blocks on a rainy 
day. 

Pass an Excellent Publicity Medium 

Regardless of the sales, it must be obvious from what 
has been said that the pass offers an excellent oppor- 
tunity for bringing the electric railway problem before 
employees and public in a new light. 

It is difficult to analyze the classification of the pass 
holders. The first buyers, naturally, would be can- 
vassers, house workmen and others who have occasion 
to ride or walk from block to block. Next in line are 
people who can ride home for lunch, and then come 
shoppers who may or may not get a full dollar's worth 
every week, but who appreciate the convenience. Dur- 
ing the school season, high school pupils who average 
longer distances from home take advantage of the ticket 
for riding home to lunch. Many stories are told of the 
convenience of the pass, as of the man who got off en 
route to buy a forgotten loaf of bread and took the next 
car, happy that he did not have to pay a second fare! 
Conductors have observed that the pass holder soon 
acquires the same air of proprietorship that is asso- 
ciated with the free-pass rider of former days. The 
steady though slow increase in sales would indicate 
that those who buy the pass are satisfied that it is giving 
them a chance to make 100 per cent use of their street 
railway and they continue buying the pass week after 
week whether they save money regularly by it or not. 

Change in Rates of Fare 

As already stated, beginning Monday, Nov. 24, the 
cash fare was raised to 7 cents and the company was 
permitted to discontinue the ten-for-55-cents workmen's 
ticket. However, the situation was complicated some- 
what by the Commission's order that tickets must be 
sold at the rate of six for 35 cents. This order has 
iirobably prevented the maximum rate of change o:^ 
cash riders into pass riders. Nevertheless, for the 
week ended Nov. 29, $1 passes sold jumped from 1,499 
to 1,678, although this included Thanksgiving Day; and 
for the week ended Dec. 20 the number sold jumped 
to 2,024. The number for the week ended Dec. 13 was 
1,915, and that for the week ended Dec. 20, 2,024. The 
following week showed a decrease to 1,602, due in large 
part to the closing for the holidays of several large 
factories and the schools, important producers of 
traffic in Racine. As this issue of the paper goes to 
press, sales up to and including Thursday, Jan. 1, for 
the week ending Jan. 3 amounted to 1,407. 



JanvMry 3, 1920 



Electric Railway Journal 



47 



How Purchasing Agents Can Help Each Other 



By E. E. Stisall 

Purchasing Agent Kansas City Railways 



Much Good Should Come to the In- 
dustry from the Recently Organ- 
ized Purchasing Agents' and 
Storekeepers' Association 

THE Purchasing Agents' and 
Storekeepers' Association, 
which was formed during the 
convention of the American Electric 
Railway Association at Atlantic City 
last October, faces two conditions often 
surrounding a new organization of this 
nature — the association should have 
been actively at work years before, and 
the attendance, interest and definite 
plan for action may appear somewhat 
disappointing at the outset. 

At the first meeting of the organization, nearly thirty 
electric railway properties were represented by their 
purchasing agents or storekeepers. A second meeting 
was held during convention week. I feel sure those in at- 
tendance are convinced not only of the necessity of this 
association but are certain of its growth and increasing 
value if cooperation is given to the president, W. H. 
Staub of the United Railways & Electric Company, Balti- 
more, Md., and the secretary, P. F. McCall, Metropolitan 
West Side Elevated Railway Company, Chicago. There 
is scarcely a street railway so small that the time and ex- 
pense required for the attendance of the purchasing 
agent or storekeeper would not be more than justified 
when one considers the benefits derived from the conven- 
tion and the value of such an organization throughout 
the year. 

It is generally conceded that the time-worn cry of 
local conditions and a disposition to ignore what others 
are doing in similar lines of work should be discarded. 
Where men in the same kind of occupation are brought 
together as they will be in this organization, they gain by 
each other's experience. In consequence, they not only 
run less chance of repeating mistakes that others have 
made but without further delay they can adopt the 
methods which are proving advantageous on other prop- 
erties. 

Every year we find both business and professional men 
associating together for mutal benefit to a greater ex- 
tent than before. In fact, there is a strong tendency in 
our cities on the part of business men to group them- 
selves geographically according to their respective lines 
of business. Thus, we find the lawyers, doctors, insur- 
ance and realty dealers taking offices in buildings 
occupied almost exclusively by themselves. Again, we 
find financial institutions, brokers and commission 
houses, as well as wholesalers and jobbers of the same 
goods, locating their establishments in the same sections 
of the city. This has resulted from a realization that 
friendly competition is preferable to the old method of 
fighting and that real advantages are to be gained by 
such a policy. In the same way, our association can be 
a material benefit not only to the individual members 




Present Critical Condition of Elec- 
tric Railways Emphasizes Desir- 
ability of Employing Every 
Means to Reduce Costs 

and the departments represented, but to 
the other departments of the company 
■ and to the railway industry as a 
whole. 

The first benefit to be obtained is 
acquaintanceship. Without this there 
is always a disposition to reduce to a 
minimum the contact even by corre- 
spondence which is essential if the dif- 
ferent companies in the railway indus- 
try are to receive from each other the 
assistance which is the most important 
that they should have during the next few years. 

Without this acquaintance and friendship among the 
men in this industry who have similar work to do there 
will be no team work, and many things of importance 
to all companies will be delayed or left undone. 

The purchasing agents and storekeepers come in 
contact with every department in a company as well as 
with practically all the manufacturers who furnish 
equipment and materials to their respective railway 
systems. The conventions of the American Electric 
Railway Association furnish a splendid opportunity for 
these men to increase their value to the companies em- 
ploying them not only in their specific work but in co- 
operating more efficiently with the other departments. 
In fact, these two departments are of value only as they 
support and are of service to the other departments of 
an electric railway company. On the other hand, they 
form the connecting link between these departments and 
the manufacturers who furnish millions of dollars worth 
of materials for the construction and operation of the 
electric railways. In this capacity they should take the 
initiative and obtain all information from the manufac- 
turers which may tend to reduce costs or increase the 
efficiency of operation. 

There is no need to refer to the abnormal market 
conditions nor the subnormal financial conditions of 
the industry during the past few years. The problem 
now is to exert the maximum effort without omitting 
any policy or action, no matter how relatively unim- 
portant it may appear, which will contribute to the re- 
lief of the electric railway properties. 

The chief problem before the industry now is to 
increase the difference between gross revenue and the 
operating expenses. There is a limit to what can be 
expected in gross, and there is undoubtedly also a min- 
imum to which expenses can be reduced. But it is im- 
portant to know if we are approaching that minimum. 
Further reductions may be possible. The purchasing 
agent and storekeeper can help in this matter. The 
extent to which they can be of such service depends 
upon the information which these officials have at their 
disposal and the judgment possessed by them. I be- 



48 



Electric Railway Journal 



Vol. 55, No. 1 



lieve that at this particular time every member com- 
pany will make a good investment by instructing its 
purchasing agent and storekeeper to join this associa- 
tion and become at once active and aggressive in the 
working out of the question of cost reductions of the 
equipment and material used by our industry. 

This is not the time to go into detail as to the plans 
of the association, but every purchasing agent will 
at once realize the possibilities of benefit which would 
arise from certain standardizations, the proper disposi- 
tion of obsolete material and a careful review of the 
policies which are followed at different times by manu- 
facturers. 

The sellers are more or less organized and at times 
take very uniform action regarding matters directly 
concerning the buyers. It is obvious that our interests 
compel us to organize in like manner. I feel sure that 
the association mentioned will benefit every member, 
and of particular importance will be the opportunity 
during convention week of meeting with the members of 
the Engineering Association, whose requirements form 
the basis of the work done in the purchasing and stores 
departments. Equally important is the opportunity of 
meeting the manufacturers' representatives and not 
only of obtaining much information from them but 
of inspecting the material and equipment which they 
place on exhibit. 

But the convention week does not at all exhaust the 
possibilities for profit in the association ; its advantages 
will continue throughout the entire year. 



East Port Chester Wreck Due to Man 
Failure 

THE chief of the Bureau of Safety of the Interstate 
Commerce Commission has reported on the causes 
of the rear-end collision which occurred between two 
west-bound freight trains on the New York, New Haven 
& Hartford Railroad near East Port Chester, Conn., on 
July 31, 1919. This is on the electrified division, which 
is equipped with modern type signals put in service on 
March 18, 1917. The signals are of the normal-clear 
left-hand upper-quadrant semaphore type, suspended 
from the catenary bridges. The aspects and indications 



Economy in Transfers 

ON THE system of the British Columbia Electric 
Railway at Vancouver approximately 1,250,000 
transfers are used per month. They are printed with 
the day of the month in heavy block red type on the 
face and the month is printed in red on the right-hand 
top corner of the transfer. The method is shov^m by 
the right-hand transfer reproduced. 

The conductors of the company are instructed to turn 
in at the end of each day all unused transfers. In the 






0074 wv. 
Fairview-Inner 






NORTH VAN. 


JOYCE Rd.,S.V. 




OUNBAR.|Hp. 


jaKER, S.V. 


WILSON, fI. 


M^V. RD-, S.V. 


HAST'S E ,BU. 


kSh ST.. S.V. 


MAGEE 


SASAMT, P.G. 


MARPOLE 


BEACONSF'LD 


£-^-^v sl» i 1 S 


OtStecTIOI^ 



UPPER PART OF TRANSFERS WITH NAME OF MONTH 
CUT OFF 

course of a month the total number so turned in is con- 
siderable. These transfers are placed in pigeon holes 
numbered from 1 to 31, and at the end of about eight 
months sufficient transfers are on hand to fill require- 
ments for one whole month except for the month. This 
is corrected by cutting off the "month" from the right 
hand top corner, as shown by the left-hand transfer. 

In this manner, if a surplus supply of transfers is 
printed for a particular month, such surplus is used, and 
absolutely no waste occurs. 




TWO VIEWS OF FREIGHT WRECK ON ELECTRIFIED ZONE 
OF NEW HAVEN RAILROAD 

as displayed by the semaphore arms are horizontal for 
stop, diagonal for caution, and vertical for clear; the 
same indications being denoted by red, yellow and green 
intensified electric lights both day and night. As the 
accident occurred on the four-track electrified line be- 
tween Devon, Conn., and Woodlawm, N. Y., it is of in- 
terest to readers of the Electric Railway Journal. 

After reciting all of the details of the occurrence, the 
report states that the accident was caused by failure of 
the engineman on one of the trains to obey the stop 
indications of the automatic signal and of a flagman on 
the train ahead. A contributing cause was the failure 
of an instructor engineman who was in the electric loco- 
motive cab to observe the signals and cause compliance 
with their indications. While the specific duty of the 
latter was to instruct the engineman in the operation 
of the "motor," it was inherently his duty also to ob- 
serve and require proper performance of duty on the 
part of the engineman, whom he was required to accom- 
pany from New Haven, for the safe operation of the 
train. 

The report states in conclusion that this accident is 
another remitnder of the inherent weakness of the human 
element in train operation, against which the most mod- 
ern system of automatic block signals does not guard, 
and again directs attention, as has been done in numer- 
ous previous investigations, to the necessity of the adop- 
tion and use of some automatic train control device 
which will assume control of the train on the failure of 
the engineman to obey signal indications. 



January 3, 1920 



Electric Railway Journal 



49 



2,447 New Cars and Locomotives Ordered in 1919 

The Numbers of Cars Ordered From Manufacturers and Built in the Shops of the Various Electric 

Railway Companies Are Approximately the Same as in the Last Two Years — Safety 

Cars Show More than 100 Per Cent Increase — Twenty More 

Companies Order or Build Equipment Than in 1918 



THE accompanying tables giving statistics as to 
the rolling stock purchased or built by electric 
railways in their own shops indicate, to those 
who hold an optimistic view of the future, that the 
lowest level in the days of the industry has been reached, 
and that, if the railways are to continue from now on, 
there should be a considerable increase in rolling stock 
orders. This conclusion is based, first, on the increas- 
ing use of the smaller and lighter type of car for pas- 
senger service; second, on the realization that if elec- 
tric railways are to continue to serve the interurban 
districts, more attention must be paid to the haulage of 
freight and express ; and third, on the co-operation with 
motor truck express companies for the service of ter- 
ritories not reached by the electric railways. 

The compilation of figures is considered as being rep- 
resentative of the industry, inasmuch as information 
was furnished by some 700 electric railway companies, 
which operate more than 95 per cent of all the electric 

65 



60 



» 55 

TS 



T5 50 



45 



40 



55 



S 30 



25 



TABLE I— NEW ROLLING STOCK ORDERED SINCE 1907 






ROLLING STOCK ORDERED BY TEARS 

railway rolling stock in the country. The total number 
of new cars and electric locomotives so recorded for 
this year is 2,447, twenty-eight more than in 1918, 
but eighty less than in 1917, which is a very creditable 
showing considering the financial condition of the indus- 
try. The number of companies, however, reporting new 
equipment, shows an increase of twenty over the 
previous year. These totals include one company that, 
for local reasons, did not care to be identified, and 
which purchased forty-five cars, divided as follows : ten 
interurban motor passenger, five city trailers, and 
thirty city passenger motor cars. 

Safety cars were purchased by ninety-three companies 
in the United States, by six in Canada, and by one in 
Cuba. The number of cars so bought was 1,321 in 
the United States, forty-seven in Canada, and fifteen in 
Cuba, a total of 1,383, as against 644 for 1918, an 
increase of 11-5 per cent. Attention is also called to the 
fact that of the 1,617 city motor passenger cars ordered 
for surface electric railways in the United States, 77.0 
per cent, or 1,321, were safety cars. This tends to show 





— Passengei 


Cars— - 


Freight and 


Elec. 




Year 


City 


Int. 


Misc. Cars 


Locos. 


Total 


19U7 


3,483 


1,327 


1,406 


(a) 


6,216 


1908 


2,208 


727 


176 


(a) 


3,111 


1909 


2,537 


1,245 


1,175 


(a) 


4,957 


1910 


3,571 


990 


820 


(a) 


5,381 


1911 


2,884 


626 


605 


(a) 


4,015 


1912 


4,531 


783 


687 


(a) 


6,001 


1913 


3,820 


547 


1,147 


(a) 


5,514 


1914 


2,147 


384 


479 


(a) 


3,010 


1915 


2,072 


336 


374 


(a) 


2,782 


1916 


3,046 


374 


491 


31 


3,942 


1917 


1,998 


185 


223 


49 


2,455 


1918 


1,842 


255 


278 


44 


2,419 


1919 


2,129 


128 


172 


18 


2,447 


(a)] 


ncluded in "Freight and Miscellaneous Cars." 







that henceforth the light-weight car is destined as the 
city service car. 

Table I gives a comparison in condensed form of the 
rolling stock purchased since 1907. The cars are clas- 
sified according to the service in which they are used, 
namely, city passenger service, interurban passenger 
service, freight and miscellaneous cars. In this table 
passenger cars for operation in subway and on elevated 
structures have been classed as "city passenger cars," 
and those for interurban or a combination of both in- 
terurban and city service have been placed in the 
column headed "Interurban Passenger Cars." Freight 
and express cars, snow plows and sweepers, and work 
cars have been placed in the "Freight and Miscel- 
laneous" column. Electric locomotives, which hereto- 
fore have been classed in the miscellaneous column, are 
shovvTi separately wherever possible. 

The number of city cars, due to a 115 per cent 
increase in safety cars, shows an increase of 287 cars, 
or approximately 12 per cent. Other types of cars, how- 
ever, decreased very materially. 

Table II gives a detailed comparison of rolling stock 
ordered during the past four years. This table in- 
dicates an increase in the number of companies pur- 
chasing cars, due undoubtedly to the greater number of 
safety cars ordered. There were 1,383 cars of this 
type purchased during the past year as compared with 
644 in 1918 and but 280 in 1917. The rolling stock 
built by electric railway companies in their own shops 
shows an increase over 1918, but is still less than in 
1917. The companies in Detroit and Atlanta built the 

TABLE II— SPECIAL COMPARISONS OF NEW ROLLING STOCK 
ORDERED 

1919 1918 1917 1916 

Number of railways reporting new cars 160 140 182 250 

Total number of cars... 2429 2373 2406 3911 

City Service 

Number of safety cars 1383 644 280 187 

Number of two-man passenger niotor cars*. 635 1068 1316 2731 

Number of passenger trailers Ill 130 402 1 28 

Service cars 31 (a) (a) (a) 

Interurban Service 

Number of two-man passenger motors cars. 96 200 158 303 

Number of passenger trailers 32 55 27 71 

Number of service cars 8 (a) (a) (a) 

Number of freight and express cars 1 33 (a) (a) (a) 

Number of electric locomotives. . . ._ ■ . 18 44 49 31 

Number of cars and electric locomotives built 

in railway companies' shops .. .'. 165 89 281 443 

* Includes motor and trailer cars for subway and elevated lines in N. Y. C. 
(n) Not available. 



50 



Electric Railway Journal 



Vol 55, No. 1 



TABLE III— ROLLING STOCK ORDERED DURING 1919 



o 



O QJ 



+^h-l OCT' 



New England District: 



Connecticut: 

The Bristol (Conn.) & Plainville 
Tramway Co 

The Connecticut Co. (New Haven) . . . 

Danbury (Conn.) & Bethel St. Ry. . . . 

Maine: 

Androscoggin & Kennebec Ry. 

(Lewiston) 

Androscoggin Electric Co. (Lewiston) 

Bangor (Me.) Ry. Electrical Co 

Biddeford (Me.) & Saco Ry 

Knox County Electric Co. (Rockland) 
Portland (Me.) R.R 

Massachusetts : 

Berkshire St. Ry. (Pittsfield) 



Boston (Mass.) Elevated Ry. . . . 
Eastern Mass. St. Ry. (Boston) . 



Medway & Dedham St. Ry. (Milford) 

Soringfield ( Mass.) St. Ry 

Worcester(Mass.) St. Wy 

New Hampshire: 

Nashua (N. H.) St. Ry 

Vermont: 

Rutland (Vt.) Ry. Lt. & Power Co.. . . 



District of Columbia: 

Capital Traction Co 

City & Suburban Ry. Co 

Washington & Old Dominion Ry. . 

Washington Ry. & Electric Co 

Illinois: 

Cent ral Illinois Public Service Co. 

(Matoon) 

Chicago (111.) & West Towns Ry . . . 



Chicago, No. Shore & Milwaukee 
Elec. R.R. (Highwood) 



Chicago (111.) Surface Lines 

Decatur (111.) Ry. & Lt. Co 

Illinois Central Elec. Ry. (Canton) 
Illinois Northern Utilities Co. 

(Freeport) 

Lincoln (111.) Muncie St. Ry 

Quincy (111.) Ry. Co 



Indiana: 

Beech Grove (Ind.) Traction Co. . 

Chicago, So. Bend (Ind.) & No. 
Indiana Traction Co 



Ft. Wayne (Ind.) & No. Indiana 
Traction Co 

Indianapolis & Cincinnati Trac. Co 

Indianapolis (Ind.) St. Ry 

Interstate Public Service Co (New 
Albany) 

Terre Haute, Indianapolis & Eastern 
Traction Co 



Vincennes (Ind.) Traction Co. 
Washington (Ind.) St. Ry 



Maryland : 

Hagerstown (Ind.) & Frederick Ry... . 
United Rys. & Elec. Co. of Baltimore 

Michigan: 

Benton Harbor (Mich.) & St. Joe Ry. 
&Lt. Co 



Detroit (Mich.) United Ry. 



New Jersev: 

Burlington County Traction Co 

(Hamisport) 

Morris County Trac. Co. (Morristown) 
Pennsylvania & New Jersey R. Co. 

(Trenton) 

Trenton (N. J.) & Mercer County 

Traction Co 

New York: 

Brooklyn (N. Y.) City R.R 

Brooklyn (N. Y.) Rapid Transit Co. 
Elmira (N.Y.) Water, Lt. & R.R. Co 

* Built in Company's Shops. 



( 2 


Passenger 


35' 0" 


C 


M 


I 1 


Safety 


26' 0',' 


C 


M 


1 12 


Safety 


28' 0" 


C 


M 


I 40 


Safety 


27' 10" 


C 


M 


{ I 


Safety 


28' 0" 


C 


M 


Safety 


27' 9^' 


C 


M 


12 


Safety 


28' 0" 


C 


M 


1 


Exp. & Fght. 


45' 0'^ 


I 


M 


12 


Safety 


27' 9i" 


C 


M 


6 


Safety 


28' 0" 


C 


M 


4 


Safety 


28' 0" 


C 


M 


15 


Safety 


27' n" 


C ' 


M 


5 


Safety 


28' 0" 


c 


M 


1 


Work 


42' 0" 


c 


M 


2 


Snow Swpr. 


39' 0" 


c 


M 


, 4 


Dump 


40' 7" 


c 


M 


i 200 


Safety 


28' 0" 


c 


M 


12 


Snow Swpr. 


35' 10" 


c 


M 


4 


Safety 


28' 0'.' 


c 


M 


10 


Safety 


28' 0'< 


c 


M 


10 


Safety 


27' 10" 


c 


M 


8 


Safety 


28' 0" 


c 


M 


1 


Safety 


28' 0" 


c 


M 


1st of the Mississippi River 




40 


Passenger 


41' 0" 


c 


M 


i 


Passenger 


43' II V 


I 


M 


1 i 


Passenger 




I 


M 


Sub. Sta. Car 




I 






Passenger 


41' 0" 


c 


M 


10 


Safety 


27' 9>/' 


c 


M 


5 


Passenger 


45' 0" 


c 


M 


12 


Express 


50' 0" 


I 


M 


15 


Passenger 


55' 3i" 


I 


T 


13 


Passenger 


55' 3i" 


I 


M 


1 2 


Dining 


55' 31" 


I 


M 


[ 10 


Safety 


27' 9i" 


c 


M 


*9 


Passenger 


48' 0" 


c 


M 


1 I 


Safety 


27' 9i" 


c 


M 


Safety 


28' Oi" 


c 


M 


*l 


Express 


40' 0" 


I 


M 


3 


Safety 


27' 9J" 


c 


M 


1 


Passenger 


30' 0" 


c 


M 


{'! 


Safety 


28' Oi" 


c 


M 


Snow Swpr. 


28' 0" 


c 


M 


3 


Safety 


27' 91" 


c 


M 


1 10 


Safety 


27' 9J" 


c 


M 


1 1 


Passenger 


60' 0" 


I 


T 


Snow Plow 


40' 0" 


C& 1 


M 


in 


Safety 


30' 7" 


c 


M 


Snow Plow 


24' 6" 


c & : 


M 


3 


Express 




I 


T 


25 


Passenger 


46" 11" 


c 


M 


{ I 


Freight 


43' 0" 


I 


T 


Comb. P&E 


62' 0'/ 


I 


M 


1 25 


Safety 


27' 91" 


c 


M 


5 


Freight 


36' 0" 


I 




6 


Flat 


36' 0" 


I 




7 


Safevy 


28' 01" 


c 


M 


3 


Safety 


27' 91" 


c 


M 


1 


Comb. P&E 


47' 0" 


I 


M 


10 


Passenger 


33' 6" 


c 


M 


2 


Safety 


28' Oi" 


c 


M 


*50 


Passenger 


47' 1" 


c 


M 


10 


Passenger 


34' 9" 


c 


M 


*50 


Passenger 


46' 91" 


c 


T 


10 


Passenger 


58' 3i" 


I 


M 


6 


Passenger 


58' 3i" 


I 


T 


3 


Express 


50' 4" 


I 


M 


25 


Express 


50' 0" 


I 


T 


10 


Safety 


27' 9i" 


c 


M 


1 


Freight 


26' 0" 


I 


T 


) 14 


Safety 


28' 0" 


c 


M 


13 


Safety 


28' 0" 


C&I M 


20 


Safety 


27' 9i" 




M 


f 50 
108 


Passenger 


45' 6" 


C 


T 


Safety 


27' 9i" 


c 


M 


92 


Safety 


27' 9i" 


c 


M 


1 7 


Safetv 


27' 91" 


c 


M 


1 1 


Snow Sweeper 


24' 10" 


c 


M 



5 I gs 

North of the Ohio and East of the Mississippi River — (Continued) 

Geneva, Seneca Falls, (N. Y.) & 

Auburn R.R. Co., Inc 2 Safety 28' 0" C M 

Manhattan Bridge 3c. Line (New 

York) . 2 Passenger 44' 6" C M 

New York & Stamford (Portchester) 

Ry. Co 7 Safety 27' 10" C M 

New York Municipal Ry. Corp. 

(Brooklyn) 200 Passenger 67' 0'.' C M 

Orange County Trac. Co. (Newburgh) 5 Passenger 28' 0" C M 
Richmond Light & R.R. Co., (New 

Brighton) 20 Passenger 51' 0" C M 

Southern N. Y. Ry. & Power Co. | ' S^^f^ Wo,, x 

(Cooperstown) KFl^w'" 38' 0" I M 

Western N. Y. & Penn. Traction Co. ] I Comb. Pass. 

(Olean) \ & Baggage 47' 0" I M 

Ohio: 

Cincinnati (Ohio) Traction Co 105 Passenger 44' 0" C M 

Cincinnati (Ohio) Milford & Blan- 

ohester Trac. Co 3 Passenger 40' 0" I M 

Lake Shore Elec. Ry. Co. (Sandusky) 1 6 Passenger 28' 0^" C M 

Mahoning &ShenangoRy.& Light. | ^\ If^^ ^7; 9|;; C M 

Co. (Youngstown) | ^ ^^^J^ 28' 0" C M 

Pennsylvania : 

Butler (Penn.) Rys. Co 7 Safety 27' 9i" C M 

Chambersburg (Penn.) & Shippens- 

burgRy.Co 2 Safety 28' 0'' C M 

Citizens Trac. Co. (Oil City) 7 Safety 28' 0" C M 

Harrisburg (Pa.) Rys. Co 5 Passenger 43' 10" I M 

Lehigh Valley Transit Co. (Allen- 
town) 15 Passenger 48' 0" C M 

North Branch Transit Co. (Blooms- f *l Gondola 24' 0" I M 

burg) \ * I Work 24' 0" I M 

Comb. Bagg. 

Northwestern Pennsylvania Ry. Co. . J I &SnowSwpr. 45'0" I M 

(Meadville) \ I Snow Swpr. 40' 0" I M 

Philadelphia & Garretford St. Ry. 

(Upper Darby) 10 Passenger 47' 3" I M 

Philadelphia & Western Ry.(Upper 

Darby 1 Passenger 56' 0" I M 

Schuylkill Rys. (Ciirardville) 3 Passenger 45' 6" C M 

Sunbury (Pa.) & Susquehanna Ry.. . . 3 Passenger 45' 6" C M 

Susquehanna Trac. Co. (Lock Haven) 4 Safety 27' 9i" C M 

Warren (Pa.) St. Ry 3 Safety 27' 9i" C M 

West Penn. Rys. (Pittsburgh) *2 Exp. & Fght. 55' 0" X M 

Woodlawn & Southern St. Ry 4 Safety 28' Oi" C M 

Wisconsin: 

T> 1 •* /w s 1- *• /^ 11 Safety 28' Oi" C M 

Beloit (Wis.) Traction Co | 3 g^j^^^ 27' 9i" C M 

Eastern Wisconsin Elec. Co. (Oshkosh) 1 5 Safety 27^' 9i^'^' C M 

Milwaukee (Wis.) Elect. Ry., Lt. Co. i l^ ^^/^^^ "' '^'.' ? m 

Wisconsin Vy. Elec. Co. (Wausau)... j ] l^sln^er 38' 6"' F M 



South of the Ohio and East of the Mississippi River 

Alabama: 

Alabama Power Co. Anniston 2 Safety 28' Oi'.' C 

Huntsville 2 Safety 28' 0*" C 
Birmingham (Ala.) Ry., Lt. & Power 

Company 25 Safetv 27' 9i' C 

Mobile (Ala.) Lt.&R.R. Co | ^ P^e-^- Jk 0" C 

Montgomery (Ala.) Lt. & Trac. Co.. 10 Safety 28' 0" C 

Florida : 

Miami (Fla.) Beach Elec. Co 10 Safety 27' 9i" C 

Miami (Fla.) Traction Co 3 Safety 27' 9i" C 

St. Petersburg (Fla.) Municipal Ry. . 6 Safety 27' 9-5" C 

Tampa (Fla.) Electric Co 10 Safety 28' 0" C 

Georgia : (15 Passenger C 

Georgia Ry. & Power Co. (Atlanta) ( *30 Passenger C 

North Carolina : 

Carolina Power &Lt. Co. (Raleigh). . 10 Safety 28' Oi" C 

Southern Public Utilities Co 

(Charlotte) / 12 Safety 27' 9i" C 

(Winston-Salem) 1 6 Safety 27' 9i" C 

Tidewater Power Co. (Wilmington) . { j PasseSfer 50' 0'' I 

South Carolina: 

Charleston (S. C.) Consol. Ry. & 

Lighting Co 7 Passenger 4 1 ' 0" C 

Tennessee t 

Jackson (Te'nn.) Ry. & Light Co 3 Safety 27' 9i" C 

Nashville (Tenn.) Ry. & Light Co.. . 10 Safety 27^' 9i" C 

Union Traction Co. (Nashville) | ^ Frlfghf '''^ 43' 0'' I 

Virginia : 

Virginia Ry. & Power Co. (Richmond) 30 Safety 28' 0" C 

West Virginia: 

Charleston (W.Va.) Dunbar Trac. Co. 4 Safety 28' 0" C 

Princeton (W. Va.) Power Co I Passenger 45' 0" I 

West of the Mississippi River 

Ft. Smith '(Ark.) Lt. & Trac. Co 8 Safety 27' 9i" C 

Southwestern Gas & Elec. Co. (Tex- 

arkana) 4 Safety 27'9i" C 

* Built in Company's Shops. 



M 
M 

M 
M 
T 
M 

M 
M 
M 
M 

M 

M 



M 

M 
M 
M 
T 



M 



U 
M 
M 
M 

M 



M 



M 
M 



January 3, 1920 



Electric Railway Journal 



51 



TABLE III— ROLLING STOCK ORDERED DURING 121Q— Continued 



o 






West of the Mississippi River — (Continued) 



California: 

Los Angeles (Cal.) Railway Co 

Municipal Ry. of San Francisco 

Ocean Shore R.R. (San Francisco) .... 

Sacramento (Cal.) Northern R.R | 

Colorado: 

Denver (Colo.) & So. Platte Ry. Co. . . 



Ft. Collins (Colo.) Municipal Ry 

Iowa: 

lows. ;: ^Tinty (la.) Elee. Ry. Co 

Ottumwa (la.) Ry. & Light Co 

Sioux City (la.) Service Co 

Kansas: 

Hutchinson (Kan.) Interurban Ry.. . 

Wichita (Kan.) R.R. & Light Co 

Louisiana : 

MunicipalSt. Ry. (Alexandria) 

Minnesota : 

Duluth (Minn.) St. Ry 

St. Cloud (Minn.) Public Service Co. 

Missouri: 

Kansas City (Mo.) Clay County & St. 
Joe. Ry. Co 

Kansas City (Mo.) Rye. Co 

St. Louis, (Mo.) Water Works Ry.. . 

Springfield (Mo.) Traction Co 

United Depot, Bridge & Terminal Co. 

Union Rys. Co. of St. Louis 

Nebraska : 

Lincoln (Neb.) Trac. Co 






5 

17 

I 



Safety 

Passenger 
Gas-Elec. 
Freight 
Caboose 

Safety 
Work 
Safety 

Safety 
Safety 
Safety 

Safety 
Safety 
Snow Swpr. 



27' %" 
42' V"' 



3 Safety 



Omaha, Lincoln (Neb.) & Beatrice Ry 

Oklahoma : 

Tulsa (Okla.) St. Ry. Co 

Oregon : 

Pacific Power & Lt. Co., (Astoria).. . 

South Dakota : 

Sioux Falls (S. D.) Trac. Co 



2 
5 
75 
2 
8 
3 
1 
1 

10 
1 

2 



Safety 
Safety 



Passenger 

Safety 

Safety 

Safety 

Safety 

Safety 

Dump 

Dump 

Safety 
Safety 
Comb. Pass. 
& Baggage 



2 Safety 
1 Safety 



5 Safety 



Austin (Tex.) St. Ry 

Beaumont (Tex.) Trac. Co 

DaUas (Tex.) Ry. Co 

Eastern Texas Elec. Co. (Beaumont) 

Hoiiston (Tex.) Electric Co 

Marshall (Tex.) Trac. Co 

Northern Texas Trac. Co. (Ft. Worth) { 

Texas Electric Co. (Dallas) 

Wichita Falls (Tex.) Traction Co 

Utah: 

Bamberger Electric R.F. (Salt Lake 
City) 

Utah-Idaho & Central R.R. Co. 
(Ogden) 

Washington: 

Aberdeen (Wash.) R.R. Co 



*3 
*3 



Safety 
Safety 
Dump 
Safety 
Safety 
Safety 
Safety 



Safety 
Safety 



Safety 
Safety 



27' 91" 

if'n" 

28' 0" 
27" 9J" 
27' 9y' 

IT 9i" 
28' Qi" 
28' 0" 

28' 01" 

28' Oi" 
27' 91" 



SI'S" 
28' Oi" 
27' 9V' 
27' 9i" 
27' 9^' 
28' Oi" 
40' 6" 
40' 6" 

28' Oi" 
27' n" 

28' OJ" 

28' 01" 

28' 0" 

28' 01" 

28' or' 

27' 9i" 
40' 6" 
28' 01" 

27' n" 
IT 9V' 
28' W 
53' 0" 
27' 91" 

■ 27' n" 

60' 0" 
60' 0" 

28' 01" 
28' 0" 



M 
M 
M 
T 
T 

M 
M 
M 

M 
M 

M 

M 
M 

M 

M 



M 
M 



M 
M 
M 
M 
M 
M 
-M 
M 

M 
T 

M 

M 

M 

M 

T 
M 
M 
M 
M 
M 
M 
T 
M 
M 

M 
T 

M 
M 



greater part of their own cars. This increase may be 
due to less stringency in the labor market, on account 
of demobilization. Cars of all classes purchased by in- 
terurban companies show a decrease over the records 
of past years. 

Among the larger orders for cars placed this year 
are the two for 200 safety cars each by the Eastern 
Massachusetts Street Railway and the surface lines 
in Brooklyn. The Brooklyn Rapid Transit Company 
having conducted extended tests during the early part 
of the year, proved conclusively that the safety car 
was beneficial in many of the districts served, and at 
the time of going to press nearly fifty cars of this type 
were in operation in various parts of the Borough. With 
regard to the Eastern Massachusetts order, the cars 
as yet have not been placed in actual service. 

The largest single order reported for two-man motor 
cars was for 105 cars by the Cincinnati Traction Com- 
pany. The Detroit United also placed an order for 
fifty motor cars. Mention should also be made of the 
extended use of trail cars in city service, fifty being 



Canada 

Brantford(Ont.) Municipal Ry { \ ^f^^fj^ 

Hydro-Electic Power Co. (Ottawa, 

Ontario) 2 Safety 

Kitchener (Ont.) Waterloo St. Ry... 3 Passenger 

Lewis (Que.) County Ry { 'f i^^t^'swpr. 

Nipissing Central Ry. (No. Cobalt, f 2 Passenger 

Ontario) I 1 Snow Plow 

Nova Scotia Tramway & Power Co. ( ^\ &^,!^*^pi„„ 

(Halifax. Nova Scotia) | , J f^- P^°- ^, 

Peterboro (Ont.) Radial Ry 2 Safety 

Quebec (Que.) Ry, Lt. Ht. & P. Co. 10 Passenger 

Sudbury (Ont.) Copper Cliff Subur- f I Passenger 

ban Electric Ry \ I Comb. Snow 

i Plw & Swpr. 

Sherbrooke (Que.) Ry. & Pier Co I Safety 

Three Rivers (Que.) Traction Co 6 Safety 

Winnipeg (Man.) Elec. Ry. Co 20 Passenger 

Cuba: 

( 10 Passenger 

1 3 Comb. Bag. 

Hershey Cuban Ry ] , ^^^^^^^^^ 

I and Mail 

( 1 Freight 

Mantanzas (Cuba) Elec. Ry 15 Safety 

* Built in Company's shops. 





J3 




A 


5 


ss 


=3i 


o?. 


s-'i 


|J 


>>s 


tf^ 






o 


O 


<, 


33' 4" 


c 


M 


41' 6" 


I 


M 


27' n" 


c 


M 


45' 0" 


c 


M 


28' ^" 


c 


M 


c 


M 


52' 0" 


I 


M 


35' 0" 


I 


M 


27' 9^' 


c. 


M 


28' 3" 


c 


M 


28' O'f 


c 


M 


27' n" 





M 


41' 0'^ 


c 


M 


41' 0" 


c 


M 


32' 0" 


c 


M 


27' 9i" 


' c 


M 


32' 0" 


c 


M 


45' 9" 


c 


M 


47' 0" 


I 


M 


47' 0" 


I 


M 


51' 0'' 


I 


M 


51' 0" 


I 


M 


41' 0" 


I 


M 


28' 0" 


c 


M 



ELECTRIC LOCOMOTIVES 



Number 
New England District: 

New York, New Haven & Hartford 

Railroad 5 

North of the Ohio and East of the 
Mississippi River: 

Washington & Old Dominion Ry 1 

Indiana Rys. & Lt. Co.(Kokomo, Ind.) * 1 

Terre Haute, Indianapolis (Ind.) & 

Eastern Trac. Co * 1 

Albany Southern R.R. (Hudson) N. Y. * 1 

West of the Mississippi River : 

Sand Springs Ry. Co. (Tusla, Okla..) . . 1 

Bamberger Elec. R.R. (Salt Lake City, 

Utah) * 2 

Sacramento (Cal.) Northern R.R 2 

Salt Lake & Utah R.R. (Salt Lake 

City, Utah) 1 

Utah-Idaho Central R.R. (Ogden, 

Utah) r I 

Canada: 

Hydro-Electric Power Com. (Ottawa, 

Ont.) I 

Oshawa (Ont.) Ry. Co. (The) I 

* Built in Company's shops. 



Weight 
Tons 



173 



Length 
Overall 



69' 0" 



30 
40 


50' 0' 


50 


31' 0" 


45 
60 


37' 0" 
35' 9J 


50 


31' 0' 


30 


35' 0" 



50 



32' 0" 



ordered by both the Detroit United Railway and the 
Brooklyn Rapid Transit Company. 

Table IV, which is divided into several districts, 
shows the rolling stock ordered by the individual rail- 
way companies, and also details the number' and types 
purchased. Of the cars purchased, by far the greater 
porportion was by companies in the territory "North 
of the Ohio and East of the Mississippi River," this 
amounting to a total of 1,372 cars, or 56 per cent by 
sixty-seven companies, or 41.0 per cent of those that 
purchased rolling stock. 

All cars are specified as to the service for which they 
were built. Electric locomotives are shown separately. 
No attempt was made to give details as to construction 
other than the over-all length. However, the majoritj- 
of cars sold are either of semi-steel or all-steel con- 
struction. 

Unfortunately reports from all companies were not 
received in time for inclusion in this compilation. 
Nevertheless the compilers believe that the table is 
representative of the present year's business. With a 



52 



Electric Railway Journal 



'fol. 55, ■No. 1 



TABLE iv-RECAPiTULATiON OF CARS AND LOCOMOTIVES separate 6-mile lines, both single-track, with passing sid- 

ORDERED 1919 »■ ^ ^ * 

ings. Meanwhile business conditions in the territory 

g^ ■i<^ 't had developed so much due to war industries that the 

^ o;::! "^^ S railway found itself unable to cope with the resulting 

J :;;-s I ^-2 1 §f m traffic after the strike. 

I 1^-s Ji^-t °fi^ 5 -S „ The importance of the signal system in facilitating 

" °li 111 ^-S- I i "? I traffic was how recognized. Previousl|y the signals 

Number of companies re- ^ z =^ c. "^ ^ " ^ o o H were Under Supervision of the line department, but as 

porting... ...... .... 18 67 19 40 143 14 2 169 there was no signal Specialist in the department the sig- 

Total cars and electric loco- , ,. , •■ , . . . . i ■, 

motives ordered 371 1372 218 361 2319 94 31 2447 nal Imes and general cxterior wiring were in a deplor- 

city Service able Condition and the signal apparatus suffered greatly. 

pfstl^ng^'carV-Motor-.::-. ''1 538 'ss ''I 'III tl " 'III A Complete rebuilding of the signal system was then 

_ Trailer 105 6 .. Ill . Ill determined upon. A signal department was organized, 

— — — — with a man m charge of the work of rebuilding who had 

Totalcitycars 365 1196 207 290 2058 87 15 2160 ., , .... , , . , . , , . .. . 

. the ability to get the signals ready for operation prompt- 

PasrengeTca'^rr-M^to" 64 8 7 76 4 13 96 Iv, a few at a time. TMs simply had to be done although 

Service Cars '^'^^^^^'^ ■ ■ ■ ^ ^ ^ ^ "\ " H had the need for the signals been less pressing, all of the 

Express and freight cars', 'i 81 ' 1 47 130 "i 133 older ones might have been repaired more cheaply by 

Total interurban cars. . 1 172 11^64 "245 "s 16 269 shipping them back to the manufacturer, who is better 

Eiectriciocomotives 5 4 ... 7 16 2 .. 18 equipped to handle this class of work than is an 

^Csafe^Trr.°^.'^" 15 33 13 32 93 6 1 100 Operating Company. 

As head of the signal department the railway selected 

definite date for publication, the possibility of receiving ^" ^^Pf ^ from the signal company who had had experi- 

advices from 100 per cent of the operating companies «"«^ ^^ maintaining signals on a railway as well as in 

is necessarily precluded. the factory. The signal company was also called upon to 

Through the courtesy and co-operation of several of ^^"f *^° experts to help do the rebuilding on the ground, 

the car builders, it has been possible, however, to check f ^ a quantity of miscellaneous spare parts was shipped 

the figures furnished by the railway companies and thus ^ ^°"^. *\« ^/^t^^y on memorandum. A suitable shop was 

in a number of cases, where the railway companies have fovided for rebuilding and testing men were secured 

, i J 4.1, .a • u 4.V, ™ 4; + «^ from other departments of the railway and the work 

not reported, the figures given by the manufacturers ^ . ■, . ^ . , . j.- r. 

, started. A few signals were made operative by repair- 
were used i V X 

™, ,1 ' , .c .1. T-,. ^ ^ T>.„„r.,, T^xTT^xT.T ing line wires, but little work on the relays being 

The thanks of the Electric Railway Journal are & » .7 6 

extended to all those co-operating to make the publica- , ,, , i..,., .. , ui 1 J^ • 

.. J. .1 ■ ■ J, .■ 1.1 In the rehabilitation work, as soon as a block of sig- 

tion of this information possible. 1 i j u .e j -j. • j. n j i. j.t. j. 

*_ nals had been fixed up it was installed at the most press- 

, f>«. 1 XT i -R/r 1 ing point, close co-operation with the transportation de- 

Keepmg the Signals Up to the Mark partment being maintained. The rebuilding was car- 

An Illustration of the Principle that Signals Require ^'^^ «" with high speed for about three months. After 

Expert Attention if They Are to Give ^^at the force was reduced from six to two men with a 

Continuing Protection corresponding reduction in output. During part of this 

n n -D -Kj " time a representative of each signal company was present 

T. •. . .r u 7^0= ^^^^ Nachod to assist and instruct in the work. The work, however, 

President Nachod Signal Company, Inc., Louisville, Ky. . , .„ . 

is still m progress. 

SUPPLEMENTING the article printed in a recent is- The signal department first tried out an auto truck 

sue of the Electric Railway Journal on the import- for maintenance work but the distances were too great 

ance of careful attention to signal maintenance I shall for this. In addition some of the line was on private 

outline the experience of an important railway company right-of-way with no near-by highways. A single truck 

by way of illustrating the points set forth therein. This car was finally adopted as most satisfactory in this 

railway has about 70 miles of track, mostly single, in work, 
narrow streets and on hilly country roads. The operation of the signals is now first-class and 

On the company's lines the single-track stretches be- they are much depended upon. They operate for weeks 
tween passing turnouts are protected by automatic sig- without failure, such failures as now occur being due 
nals of the trolley-contact type, about 100 of these sig- to the old line wires which are gradually being replaced. 
nals of two types of manufacture being used on the sys- Experience has taught the railway that periodical in- 
tern. Some of the signals have been in service since gpection is necessary; that the signals must not be neg- 
1910, and others since 1913, but they were all in rather jgcted until reports of failure come in from the trans- 
precarious condition. Previous to the war the headway portation departments, and that the maintainer who 
required was not frequent, and motormen could dis- waits for trouble to appear before working on the sig- 
regard the signals without serious danger. If two cars nals or wiring is a costly luxury. 

met in the block the schedule was not greatly disar- 

ranged when one of them had to back out. With this 
light traffic the importance of signal maintenance was 
not recognized Until a long and serious strike with vio- 
lence and damage to the railway company's property 
occurred in 1917. 

At the time of the strike the city was full to overflow- 
ing, about 50,000 men were in training at a national 
arniy camp Hear by. To this -caMp the railway had two 



R. C. Richards, chief claim agent of the Chicago & 
Northwestern Railway, is credited with having organ- 
ized the first safety-first committee on steam railroads. 
This was in May, 1910. At the present time there are 
on the railroads under federal management about 12^000 
safety-first committees, composed of approximately 
25,000 officers and other employees. 



J(uifmiry 3, 1920 



Electriq Rajlway Journal 



bi 



Track Extensions and Reconstruction in 1919 

Seventy-three Urban and Interurban Companies Report 140 Miles of Exten- 
sions and 148 Companies Reconstructed 390 Miles of Track During 
the Past Year — 288 Miles of Steam Road Are Electrified — More Track 
Was Reconstructed But Less New Track Built Than in Previous Years 



THE amount of track extensions built during the 
past year by urban and interurban electric rail- 
ways in the United States and Canada is the 
smallest of any year since this paper has been keeping 
yearly statistics of this character. The mileage of exten- 
sions built was but 140.57 or practically one-half of 
that recorded during 1918. If the 34.05 miles. of track 
opened up during the year by extensions to the ra,pid 
transit lines in New York City are deducted, there 
were but 106.62 miles of new track built by urban and 
interurban surface lines during 1919. This figure repre- 
sents a decrease of 50 per cent over the urban and inter- 
urban surface lines last year. However, the amount of 
track rebuilt by the urban and interurban companies 
exceeded that of the year 1918 by 234.45 miles, or an 
increase of 150 per cent. This undoubtedly indicates 
the trend of track work for the next few years, inas- 
much as most of the companies feel that due to the 
ever increasing cost of operation and the unstable con- 
tooo 

1800 
IfcOO 



(0 1400 
-1100 



1000 




^ 800 



OfeOO 

u 

1-400 



too 



1907 1908 1909 1910 1911 1911 1913 1914 1915 1916 1911 1918 1919 

THIS CHART SHOWS MILES OF NEW TRACK BUILT 

EACH TEAR SINCE 1907 

ditions affecting revenues that they cannot finance 
extensions except where the traffic will immediately pay 
the cost of service and a return on the investment. 

The single track mileage for extensions built by urban 
and interurban electric railways during the year 1919, 
together with the mileage of track rebuilt or recon- 
structed and also that electrified by steam railroads 
during 1919 is given in the accompanying table. 

The data for this table have been compiled from 
reports of approximately seven hundred companies 
throughout the United States and Canada, the majority 
of whom reported no extensions or reconstruction work 
except the usual maintenance for the year. Seventy- 
three companies reported a total of 428 miles of exten- 
sions built, 25.9 per cent of which was by urban com- 
panies, 6.9 per cent built by interurban companies and 
the balance by two steam railroads that extended their 
zones of electric operation. 

In order to facilitate comparison with similar : data 



for other years, a table has been prepared from previous 
statistical issues showing track extensions divided 
wherever possible as between urban, interurban and 
electrified sections of former steam railroads, together 
with the number of companies involved. 

The study of the statistics for individual companies 
which have been grouped into five geographical districts 
show that the companies in the district "North of the 
Ohio and East of the Mississippi Rivers" have built 
more extensions and rebuilt more track than any of the 
other groups. The states of Connecticut, District of 
Columbia, Wisconsin, Tennessee, Colorado, Kansas, 
Minnesota, Nebraska, New Mexico, and Utah, all show 
an increase over 1918, while the New England dis- 
trict is the only group as a whole to show an increase 
over the previous year. New York State has the largest 
amount of track extensions with 38.23 miles as against 
87.93 miles the previous year. If,, howpver, the exten- 
sions to the rapid transit lines are not considered, 
Michigan is the banner state with 9.80 miles of exten- 
sions to its credit. The longest piece of new track built 
by any urban or interurban service road, however, was 
west of the Mississippi River, and amounted to 5.38 
miles. This was by the Seattle Municipal Railway. Only 
three other extensions are greater than four miles. 

The Cleveland Railway, however, reports exten- 
sions of 6.77 miles during the year but this total was 
made up of several smaller parts. Four extensions, 
however, were added to the rapid transit lines in ^ew 
York City, amounting to 34.05 miles. 

The largest amount of track rebuilt by any one com- 
pany during the year was by the Boston Elevated Rail- 
way with the Public Service Railway and the United 
Railways Company of St. Louis, close seconds, the 
amounts rebuilt being 23.50, 22 and 21.82 miles 
respectively. Only four other companies rebuilt more 
than 10 miles of track. Each geographical group, how- 
ever, showed as a whole more track rebuilt than last 
year, the greatest amount, however, being in the State 
of New York, with Massachusetts holding second place. 

The most important piece of heavy electric traction 
electrification that has been opened up in recent years 
was during 1919, this being the new 280 mile extension 
of the Chicago, Milwaukee & St. Paul R.R. in the State 
of Washington, from Seattle to Othello, a distance of 
approximately 200 miles. The New York, New Haven 





•COMPARISON OF TRACK CONSTRUCTION 








Extensions 








No. of 


Urban Interurban Electrified 




Track 


Year 


Cos. 


Track Track 


Steam Lines 


Total 


Rebuilt 


1907 


...' (a) 


(a) (a) 




1,880.00 


(a) 


1908.... 


... 157 


1,174.5 


84.00 


1,258.50 


(a) 
(<J) 


1909.... 


... 160 


774.7 


112.40 


887.16 


1910.... 


... 217 


1,204.8 


192.40 


1,397.20 


(a) 


1911.... 


... 223 


1,105.0 


86.50 


1,191.50 


(o) 


1912.... 


... 171 


869.4 


80.80 


950.20 


1913.... 


...' 181 


974.9 


119.00 


1,093.90 


(a) 
(a) 


1914.... 


... 1 63 


716.5 


229.00 


946.40 


1915... 


... 1 36 


596.0 


448.20 


1,044.2 


<<i) 


1915.... 


... 104 


115.40 240.9 


388.00 ^ 


744.3 


(a) 


1917.... 


... 121 


251.10 125.60 


66.00 


442.7 


375.40 


1918.... 


80 


216.41 97.41 


275.70 


589.53 


155.43 


1919.... 


... 73 


110.90 29.67 


287.60 


428.17 


390.64 


(a) Not available. 








■ 



54 



Electric Railway Journal 



Vol. 55, No. 1 



& Hartford Railroad opened up a new classification 
yard at Cedar Hill, Conn., with small mileage. 

Approximately 10 per cent of the total extensions 
built and track reconstructed was in Canada, the longest 
extension being by the Montreal Tramways Company. 

Next year's plans, so far as it is possible to determine 

from information at hand, call for 151 miles of exten- 
sions and the rebuilding of 331 miles of track. 

TRACK EXTENSIONS AND TRACK REBUILT DURING 1919 

New England States: 

Connecticut: Extensions Rebuilt 

The Connecticut Co 2 97 4. 24 

Danbury & Bethel St. Ry 00 0. 75 

Hartford & SpringHeld St. Ry 4.70 3.00 

Maine: 

Bangor Railway & Electric Co 00 1.74 

Knox County Electric Ry 0.00 0.28 

Portland Railroad . 00 2 . 89 

Waterville, Fairfield & Oakland Ry • 0.00 0.50 

Massachusetts: 

Boston Elevated Ry 20 23. 50 

Holyoke St. Ry 0.00 0.76 

Massachusetts Northeastern St. Ry . 00 4 . 00 

Northampton St. Ry 0.00 0.95 

Springfield St. Ry 0.00 2.50 

Union Street Railway (New Bedford) 0. 00 0.42 

Worcester Consolidated St. Ry 0.11 0.55 

New Hampshire: 

Chester & Derry R.R 0.00 0.50 

Claremont Railway 0.00 0.23 

Dover, Somersworth & Rochester St. Ry 0.00 0.50 

Rhode Island: 

Bay State St. Ry 0.00 0.03 

Rhode Island Co 0.00 4.18 

North of the Ohio a/nd East of the Mississippi River 

District of Columbia: Extensions Bebuilt 

Capital Traction Co 0.00 1.89 

City & Suburban Ry. of Washington 0.00 0.21 

Washington & Old Dominion Ry 0.50 0.00 

Washington Railway & Elec. Co ; 0.24 2.61 

Illinois: 

Alton, Granite & St. Louis Trac. Co 0.00 0.12 

Calumet & So. Chicago Ry. Co 2.40 -CSO 

Chicago & Desplanes Valley Elec. Ry 0.00 '0.50 

Chicago & West Towns Ry 0.00 5.00 

Chicago City Railway 0.17 2.60 

Chicago Elevated Rys 0.00 6.87 

Chicago, North Shore & Milwaukee R.R. (Carrollville) 4.67 0.36 

Chicago Railways Co 1.12 t . 43 

E. St. Louis & Suburban Ry O.OC 1.09 

East St. Louis Railway 0.00 1.70 

Illinois Central Electric Ry 0.13 . 00 

Jyincoln Municipal St. Ry 0.00 1.00 

Indiana: 

•Chicago, So. Bend & No. Indiana Ry O.OO O.50 

Ft. Wayne & North Indiana Traction Co 0.50 1.15 

Indiana Railways & Light Co O.OO 2.50 

Indianapolis St. Ry - - • ■ ' ■ 00 2.50 

Public Utilities Co 000 0.40 

^incennes Traction Co ■ 00 1.25 

Washington Street Railway 0.00 2.0U 

Maryland: 

United Railways & Electric Co. of Baltimore 2.33 16.25 

iMicbigan: 

Detroit, Jackson & Chicago Ry ••■ «-80 0.80 

Dstrott, Monroe & Toledo Short Line Ry J . 60 . 00 

Detroit United Ry . (City System) . 4 . 80 14.40 

Ironwood & Bessemer Ry & I^ig^^ * Co ..... ^. . 00 1.00 

Menominee & Marinette Light & Traction Co ... . 00 0.50 

Rapid Railway System (Detroit and Mt. Clemens^ 3.60 6.60 

New Jersey: 

Bridgeton & MiUviUe Traction Co ... ^. ...... ^ . 00 9.00 

Public Service Ry . (Yorkship Village Extension) 1.65 22 . 00 

Trenton & Mercer County Traction Corp 0.90 3.5U 

New York: 

Albany Southern R.R. (Sidings) , 0. 02 0. 00 

Binghamton Railway Co^(Port Dickinson Line) 0.50 0.00 

Brooklyn Rapid Transit Co. (Surface Lines) 0.00 4.00 

Buffalo &DepewRy ...:■.. ^ ^ I] "0" 

•Bufialo & Lake Erie Traction Co 2.*^ 0.52 

Elmira Water Lht & r.r ..... 0.00 1 .03 

f oTdrlohntt?w''n& GioversviUe R.R-. V:/:. . 00 1 . 09 

Hornell Traction Co..... """ ""^ 

Hudson Valley Railway Co... . .... ... • ■ -^ ,^ ■ ■• ■ ■ ■■ 0.00 0.45 

T^terborough Rapid Transit Co. (New York), Clark St. 

Tunnel and Pelham Park Line. I" " O.UU 

International Railway Co. (Buffalo) . 00 1.83 

MarineRailway Co. (New York) ......... „■ v ' ' 

TSTew York Municipal Ry. Corp. (Broadway Subway. Culver 

^ LineandConeylsland) ......■■ 22.70 0.00 

:8?aSe County Traction Co: (N^^^^^^^ 0.00 2.00 

Waverly, Sayre & Athens Traction Co 0.00 0.38 

raidinati (Ohio) Traction Co. 0.00 7.40 

City Ry. Co. (Dayton) ^..^. "00 0-76 

CWeland. PainesviUe & Eastern R.R 0.00 4.00 

ClevelandRaUwayCo. ...... ..■■•••■• °'' "y, 

Columbus, Delaware* Marion Elec. Co 0.00 0.75 

Mahoning & Shenango Ry. & Lt^Co 0. 00 0.72 

• Ohio River Electric Ry. & Pwr. Co 0.00 I.UU 



Extensions 

Peoples Ry. Co. (Dayton) 0. 00 

Richland Public Service Co 0. 00 

Tiffin, Fostoria & Eastern Ry. Co. (between TiflSn and 

Bascom) 0.50 

Toledo Rys. & Lt. Co 0. 16 

Pennsylvania: * 

Cleveland & Erie Traction Co . 00 

Danville & Sunbury Transit Co . 00 

Easton Pennsylvania Rys. (Pottsville) 0. 00 

Eastern Transit Co 0.00 

Hanover & McSherrystown St. Ry . 00 

Harrisburg Rys. Co . 00 

Highland Grove Traction Co 0.75 

Lehigh Valley Transit Co 1 .25 

Lykens Valley Ry 0. 00 

Mauch Chunk & Leighton Transit Co. (siding) 0.10 

Montgomery Transit Co . 00 

North Branch Transit Co . 00 

Northwestern Penn. Ry. Co 0. 00 

Reading Transit & Light Co 0. 00 

Schuylkill Railways Co. (Girardville & Shenandoah) 0.75 

Scran ton Railway Co . 00 

Susquehanna Traction Co . 00 

Westchester St. Ry. Co 0. 00 

West Penn. Rys. (In Greensburg) 0. 33 

Wisconsin: 

Madison Railways Co 0.93 

Milwaukee Electric Railway & Light Co . 60 

Wisconsin Public Service Co . 00 

Wisconsin Valley Electric Co. (Wassau) 0. 00 

South of the Ohio and Moat of the Mississippi River 
Alabama: 

Birmingham Ry., Lt. & Pwr. Co 0.00 

Sheffield Company (The) 0. 00 

Georgia: 

Augusta-Aiken Ry. & Elec. Co 0. 00 

Kentucky: 

Paducah Traction Co 0. 00 

South Covington & Cincinnati St. Ry 0. 00 

North Carolina : 

Durham Traction Co. (Durham) 0. 33 

Southern Public Utilities Co. (Winston-Salem) . 00 

Tidewater Power Co. (Shipyard Extension) 2. 84 

South Carolina: 

Charleston Consolidated Ry. & Ltg. Co 0. 00 

Southern Public Utilities Co., Greenville 0. 00 

Tennessee: 

Nashville Ry. & Lt. Co 1.32 

Virginia: 

Charlottesville & Albemarle Ry 0. 00 

Newport News & Hampton Ry., Gas & Elec. Co 0. 00 

Virginia Ry. & Pwr. Co 2. 24 

West Virginia: 

Charleston Interurban R.R 1 . 00 

Monongahela Vallev Traction Co 0. 00 

Ohio Valley Electric Ry 0. 00 

Wellsburg, Bethany & Washington Ry 2. 00 

West of the Mississippi River 
California: 

Municipal Railway of San Francisco 2. 00 

Petaluma & Santa Rosa R.R. (yards p.nd sidings) 0. 22 

Sacramento Northern R.R. (yards and sidings) 4 . 00 

San F'rancisco, Napa & Calistoga Ry 0.00 

Colorado: 

Arkansas Valley Ry. Lt. & Pwr. Co 0.28 

Iowa: 

Albia Light & Ry. Co 0.00 

Dubuque Electric Co . 00 

Hutchinson Inter-Urban Ry 0. 00 

Kansas: 

Joplin & Pittsburg Rv. (siding) 1.50 

Kansas City-Western Ry 0. 00 

Louisiana: 

Municipal Street Railway (Alexandria) 1 . 60 

New Orleans Railway & Light Co 2.28 

Minnesota: 

Granite City Ry 0. 00 

Mankato Electric Traction Co 0. 75 

Twin City Rapid Transit Co 1.18 

Missouri: 

Hannibal Ry. & Elec. Co 0.00 

Kansas City Railways 0.76 

Missouri Electric R.R 0. 00 

St. Joseph Ry. Lt. & Pwr. Co 0. 00 

United Railways Co. of St. Louis 0.00 

Montana: 

Butte Electric Ry 0.00 

Omaha & Council Bluffs St. Ry 1 . 00 

Omaha, Lincoln & Beatrice Ry. (University PI. to Havelock) 2 . 75 

New Mexico: 

City Electric Co. (Albuqueque) . 06 

Oklahoma: 

Sand Springs Ry. (sidings) 1.50 

Oregon: 

Pacific Power & Light Co. (Astoria) 0. 00 

Texas: 

Dallas Railway 1-12 

Eastern Texas Electric Co 0. 38 

El Paso Electric Ry. (High School Line) 0. 90 

Northern Texas Traction Co. (West of Grand Prarie) 1 . 02 

Salt-Lake, Garfield & Western Ry.(bet. Salt A ir and Garfield) 2 . 00 



0. 


19 


0. 


50 


0. 


00 


2. 


44 





,50' 





25 


1 


.38 


1 


,00 





,25 


0. 


97 





75 


4. 


50 


1 


00 





00 


2 


.00 





.93 





20 


8 


57 





,25 


1 


.50 





,66 





.50 





.00 





.00 


6 


,26 





.76 





.24 


10. 


00 





.57 



10.00 



1.00 
1.45 

1.60 
2.00 
0.00 



1.90 
3.00 



2.90 



21 
23 

84 

00 
61 
26 
OO 



0.42 
0.00 
0.00 
4.34 

0.7 

5.00 
2.00 
2.50 

0.00 
1.00 

0.00 
0.42 

1.00 
0.00 
5.40 

0.38 
2.16 
0.24 
0.50 
21.82 

0.76 

4.20 
0.00 

0.76 

0.00 

0.51 

6.89 
0.00 
0.78 
0,00 

0.00 



January 3, 1920 



Electric Railway Journal 



55 



Extensions 

Washington: 

Grav's Harbor Ry. & I.t. Co 0. 00 

Olympia Light & Pwr. Co 0. 00 

Puget Sound' Electric Ry 0.46 

Seattle Municipal Ry 5.38 

TacomaRy. & Pwr. Co 0.31 

Canada: 

Brantford Municipal Ry 2 . 20 

Calgary Municipal Ry 4. 00 

•Cape Breton Electric Co., Ltd. (siding) 0.06 

Hamilton St. Ry 0. 00 

Hull Electric Co 0.00 

International Transit Co . 00 

Levis County Ry. Co. (sidings) . 24 

Montreal Tramways Co 4.59 

Niagara, St. Catharines & Toronto Ry 0.00 

Nova Scotia Tramways & Pwr. Co., Ltd 1.14 

Peterboro Radial Ry 0. 00 

<Juebec Ry., Lt. & Pwr. Co. (Beauport Rd. and 1 0th Sts.) 1 . 65 

Sandwich, Windsor & Amherstburg Ry . 00 

St. Thomas Municipal St. Ry 0.00 

Sherbrooke Ry. & Pwr. Co 0. 32 

Toronto Railway Co . 00 

Toronto Suburban Ry . 00 

ELECTRIFIED STEAM LINES 

"New York, New Haven & Hartford R.R. (yard at Cedar 

HiU, Conn.) .' 7.60 

Chicago, Milwaukee & St. Paul R.R. ^between Othello and 

Seattle) 280.00 

Kitchener & Waterloo Ry. (purchased from Grand Biver Ry. 

in City of Kitchenegl 0.92 



Rebuilt 



SUMMARY OF TRACK CONSTRCCTIO.V— 1919 



0.00 
0.00 
0.38 
0.46 



3.63 
2.00 



76 





■v 


5 3.2 5 =.2 5 






W— H— •- 












t?T3 'rr T3 t« 3, 




a 


° § g- ° i 2- ='i 




W 


5.2- §5.2- § y-i 






S^lX!^ m 3-d,„ » $3 


Item 


'Z 


= 0^.2 oCo.2 >'< 
/^ rfj r^ 




TRACK EXTENSIONS 


Urban and 


Interurban Lin 


es 



Number of companies 4 33 6 

Miles of track — 

Urban 2.31 64.78 7.73 

Interurban 5.67 11.75 2.00 

Electrified Steam Lines 

Number of companies 1 

Miles of track 7 . 60 



22 



21.88 
10.25 



65 



96.70 
29.67 



14.20 



73 



110 90 
29 67 



280.00 287.60 287.60 

Totaltrack 15.58 76.53 9.73 312.13 413.97 14.20 428 17 



TRACK RECONSTRUCTED 
Urban and Interurban Lines 



Number of companies 1 9 

Miles of track — 

Urban 36.18 

Interurban 1 5 . 29 

Electrified Steam Lines 

Number of companies 1 

Miles of track 0. 76 

Totaltrack 52.23 



75 



157.37 
36.71 



33.96 
13.61 



23 



53.23 
11.36 



134 



280.74 
76.97 



0,76 



26.32 
5.85 



148 



307.06 
82.82 



0.76 



186.68 47.57 64.59 351.07 32.17 383.24 



Statistics of the Electric Railway Industry 

Figures Are Given by States and Districts of the Track Mileage 

and Rolling Stock Owned 



THE accompanying- table, compiled from the 
August, 1919, "Electric Railway List" of the 
McGraw-Hill Company, gives mileage statistics 
and cars owned by the electric railway companies in the 
United States. This information was gathered last June 
and July and can be said to be representative of July 
1, 1919. No attempt has been made to bring any of 
these statistics up to date by adding the track exten- 
sions and the numbers of cars on order during the past 
year, given elsewhere in this issue, inasmuch as the 
physical property "junked" was not determinable. 

A few words of explanation are necessary regarding 
Ihe tables. Every effort was made in compiling these 
statistics to prevent duplication, as it was found that 
often the same mileage and equipment would be reported 
lay both the holding and operating company. The mile- 
age represents the single-track equivalent owned and 
operated, duplication as to joint tracks being eliminated 
wherever possible. Passenger and freight cars are 
classified as between motors and trailers. Service cars 
are considered as being non-revenue cars used by a 
company, such as work cars, snow plows, etc. "Other 
cars" cover funeral, sleeping and dining cars as well 
as those that cannot otherwise be classified. 

A comparison of the totals given in this table with 
those of a somewhat similar table, published in the issue 
■of Jan. 4, 1919, shows a number of what might be 
termed discrepancies, especially in the number of com- 
panies, which are shown as being 881 in 1919, and 991 
in 1918. This difference or decrease is attributed large- 
ly to the fact that in previous years the several divisions 
of many of the larger companies, for which separate 
accounts are kept, were counted separately, while this 
year the number of companies shown is intended to be 
representative only of the number of individual operat- 
ing organizations. The balance is in actual abandon- 
ments and suspensions, which is shown on page 60 of 
this issue. 
The number of miles of track owned shows also a 



slight decrease, namely, from 48,484 to 48,336. This 
may represent an actual decrease, or it may be due 
to variations in the method of reporting by companies. 
As the nominal decrease is less than 1 per cent of the 
total number of miles reported, no particular signifi- 
cance is placed by the compilers on this figure ex- 
cept as it shows that the industry as regards miles 
of track is practically stationary. The accuracy of 
the method followed of collecting and compiling the 
figures in this table is not sufficient to warrant definite 
conclusions being dravrai from yearly differences either 
way of 2 per cent or less. 

The rolling stock statistics show 105,096 cars for 
1919 against 102,379 for 1918, an increase of 2,717. 
Part only of this increase, however, should be considered 
as actual increase, as explained later in this statement. 
Certain freight equipment has not been included in this 
table, but a more liberal policy of inclusion has been 
followed this year than in the past. Thus 510 coal 
cars belonging to the East St. Louis & Belleville Rail- 
way, and 910 freight and express cars belonging to the 
Illinois Traction Company have this year been included 
in the table. None of the 2,300 freight cars, however, 
belonging to the Fort Dodge, Des Moines & Southern 
Railway, or any of the cars belonging to the Chicago 
Tunnel Company have been included. 

Any comparison of details throughout the table of 
the various classes of equipment show that the reports 
as given out by the companies are not consistent from 
year to year, for while the total of all cars shows an 
increase over the previous year this increase cannot 
be fixed upon any of the various classes; some actually 
show a decrease. This undoubtedly is due in part to the 
discrepancies already mentioned in connection with 
track and also to the non-uniform use in reporting of 
the expression "service cars," "express cars," and 
"freight cars," for what is known as a "service car" 
on one road may be called a "freight car" or "express 
car" on another road. For the first time an effort has 



C56 



Electhic Railway Journal 



^anwvry 3» 1920 



been made to determine the approximate number of 
so-called "service cars," the total accounting being 3,672 
or an average of 0.076 car per mile of single track 
owned. This figure is not correct inasmuch as it w^as 
impossible to classify the 10,000 odd "other cars." 

The main table includes all companies operated by 
overhead or underground trolley, third-rail, cable, gas- 
electric or storage batteries. The recapitulation sepa- 
rates this total into several classes and shows that of 
the 48,326 miles of track 46,275 are operated electrically 
by street and interurban railway companies. 

STATISTICS OF ELECTRIC RAILWAY COMPANIES IN THE U. S. 



State 



e 

o 

O O* 



Part I^All Companies 
Passenger Cars 



OQ bO 2 

.2 



§y.h 



New England States: 



Connecticut . . 

Maine 

Massachusetts 
New- Hamp- 
shire 

Rhode Island . 
Vermont 



1,501.44 

527.54 

3,117.06 

246.00 
436.94 
102.13 



1,826 

512 

8,125 

291 

1,088 

127 



50 
10 
23 


25 



3-5 



108 
8 
11 



Express and 
Freight Cars 



71 
28 
90 



4 
80 
II 



12 



18 

89 

1,077 

15 
71 

3 



Total 77 5,931.11 11,969 108 131 193 107 1,273 

Eastern States: 



Delaware 

Dist. of Co- 
lumbia 

Maryland .... 
New Jersey. . . 
New York... . 
Pennsylvania. 102 

Virginia 12 

W. Virginia.. . 18 



153.00 



309 



12 
23 
86 



421.55 1,048 75 

692.72 2,156 59 

1,593.14 3,155 2 

6,039.17 17,035 1,371 

4,345.76 7,483 71 

443.23 941 64 

660.34 622 20 



6 
13 

2 
288 

4 

3 
13 



3 

19 
42 
81 
16 
20 



Central States: 

, Illinois 56 

Indiana 28 

Iowa 23 

Kentucky .... 7 

Michigan 20 

Minnesota 13 

Missouri 23 

Ohio 58 

Wisconsin.. . . 16 



3,724.43 
2,418.31 

887.16 

494.35 
1,761.56 

731.47 
1,174.22 
4,223.07 

759.76 



5,794 
1,835 

955 
1,002 
2,788 
1,272 
2,459 
5,184 

903 



723 

57 

48 

14 

59 

8 

172 

535 

117 



54 
37 
25 

20 
1 
5 

15 
2 



26 2,221 
70 376 



12 

123 
2 
6 

138 



125 

27 

284 

28 

12 

298 



91 
44 
4 
18 
37 



513 
79 



Southern States: 

Alabama 12 

Arkansas 10 

Florida 9 

Georgia 12 

Louisiana.... . 9 
Mississippi ... 10 
North Caro- 
lina 11 

South Carolina 4 
Tennessee. ... 11 



365.54 
131.01 
205.89 
490.98 
318.28 
117.03 

300.60 
146.25 
467.26 



419 
237 
287 
678 
651 
139 

314 
203 
797 



90 

i 

33 

48 

5 

3 

30 
57 



25 

2 



1 1 



17 



167 



Total . 



2,542.84 3,725 267 



Western States; 

Arizona 4 

California.... 36 
Colorado 13 



Idaho. 

Kansas 

Montana 

Nebraska 

Nevada 

New Mexico... 
North Dakota 

Oklahoma 

Oregon 

South Dakota. 

Texas 

Utah 

Washington... 
Wyoming 



54.20 

3,423.95 

486.85 

113.20 

529.48 

798.06 

252.08 

10.80 

10.95 

27.08 

331.22 

721.62 

25.85 

989.14 

448.12 

1,08-4.07 

22.00 



43 

3,735 

445 

40 

368 

129 

580 

9 

16 

37 

287 

739 

28 

1,227 

214 

1,108 

15 



1 

117 

143 

2 

38 

31 

10 



24 

6 

88 

4 

132 

37 

34 

10 



22 



68 
7 

"2 

75 

1 



4 
24 

i 

15 
31 



14 175 177 



2 
2 
2 
18 
1 



1 
22 

i3 
13 
19 



409 

159 

2 

80 



2 

29 

463 

"b 

76 

455 



1 

148 
40 

26 
11 
6 



5 

22 

129 

1 

19 

1 



Total...... 169 9,328.67 9,020 677 

Total U. S. 

(1919) 841 48,325.86 79,655 4,447 

Total U. S. 

(1918) 991 48,484.00 80,452 3,613 

Total rolling stock, 1919 105,245 



300 
103 
198 

20 

ia4 

5 

810 



80 





58 


300 


48 


6 


103 


1 


306 


58 


159 


394 


1,870 


68 


187 


1,466 


2 


52 


36 


10 


16 


77 



Total 263 14,348.91 32,749 1,662 329 181 288 1,019 3,990 



343 
357 
198 

51 
419 
118 
211 
517 

69 



Total 244 16,174.33 22,192 1,733 159 385 3,371 786 2,283 



145 
40 
41 
46 
10 
31 

31 
25 
74 



443 



1,481 
55 
14 
37 

'60 



67 

48 

3 

172 

220 

426 

4 



228 93 1,681 417 2,588 
869 866 5,622 3,672 10,114 

645 1,107 2,745 13,817 
1918 ..102,379 



Part II — Staiiatics of Companies by Population Method Used 
No. of . — Miles of Passenger Cars-^ 



State 
Cable Roads: 

California 3 

Colorado 1 

New York 1 

Pennsylvania. 2 

Virginia T 

Washington ;....• ,2 



Total cable roads. 



Companies Track. 



26.58 
1.25 
. 0.42 
" 0.69 
0.-38 
14.99, 

44.31 



Motor Trailer 



119 

2 
2 
4 
2 
45 



Other 
Cars 



10, 



174 



No. of 
State Companies 

Storage Battery Roads: 

Georgia 1 

Maryland 1 

Massachusetts I 

New York 4 

Total storage battery rds.. 7 

Gas-Electric Roads: 

.^.rkansas 3 

California 1 

Georgia 1 

Minnesota 3 

New York '...... 1 

Texas 2 

Total gas-electric roads ... 11 

Electrified Steam Railroads: 

California' 2 

Connecticut 1 

Maryland 1 

Massachusetts 1 

Michigan 2 

Montana 2 

New York 4 

Washington 1 

West Virginia 1 

Totalelectrified steam rds.. 15 1,691.46 264 50 385 

(o) Includes 2 freight and express motors and 28 trailers, (h) Exclusive of 

Cascade Div., C. M. & S. P., which is only in partial operation, (c) Electric 

locomotives. 



.—Miles of Passenger 


Cars— 


Other 


Track 


Motor 


TraUer 


Cars 


10.00 


1 






3.25 


1 






1.20 


2 






57.54 


190 






71.99 


194 






3.50 


4 


1 


2 


117.40 


3 


36 




10.60 


3 






78.62 


7 


2 


(o) 39 


1 1 . 00 


2 






31.20 


4 




5 


252.32 


23 


39 


46 

(c) 


17.00 


3 




13 


450.00 


32 


50 


106 


3.70 






9 


22.00 






7 


38.10 






16 


(6) 670.10 






75 


385.76 


229 




143 


6.50 






4 


98.30 






12 



RECAPITULATION 



a 



Class ^ 

Trolley and 3rd 

rail 798 

Cable 10 

Storage battery . . 7 
Gas-electric. ... 11 
Electrified steam 1 5 



Passenger Cars 

(0 tfl w ^ 

.-3.9 2 



Express and 
Freight Cars 



46,265.78 79,000 4,358 

44.31 174 .... 

71.99 194 .... 

252.32 23 39 

1, 611. '',6 264 50 



S W S E-c ra O 

484 864 5,594 3,672 10,098 



385 



28 



16 



TotalinU.S.. 811 48,325.86 79,655 4,497 869 866 5,622 3,672 10.114 



Bamberger Road Builds Two Locomotives 

DUE to a marked increase in the freight business 
of the Bamberger Electric Raidroad, it recently 
became necessary to have two additional locomotives. 
It was decided that all parts of these locomotives should 
be built in the shops of the company except the trucks 
(of Baldwin make) and equipment. The illustration 
shows the general style of the locomotive. 





\ 


^~~~- 


^1 


m 


L 




■'^ 




..---ri^ 


I i 


1 


Ik.- 




; 


\'^^ 


gtfri 








h 




''^ 


W^9. 


.* 


•S**"^, ^ 


- 


- v - 


^M 


h- 


^^m 


*|- 


HP 


"" ''"">',',■: ':i^l 


mm—~- 


. 




'J^m 


//{ ^^fffi™,^ 


P^^ipr^ 












— ^-^ 













LOCOMOTIVE BUILT BY BAMBERGER ROAD 

These locomotives are 37 ft. over all, weigh 40 tons 
and are equipped with four 125-hp. GE-205B interpole 
motors. They are arranged for multiple-unit operation 
The air equipment consists of two Westinghouse D3EG 
compressors and type EL. brake valves. A blower fo'- 
cooling the motors has also been installed. 

These locomotives will operate on 750 volts direct cur- 
rent, and are geared for a safe coasting speed of 45 
m.p.h,, so that, in addition to their being used for freight 
service, they can be used for pulling emergency passen- 
ger trains. The construction was done under the. super- 
vision of N. S. Wiltsie, general superintendent, and 
M. L. Allen, master mechanic. 



Jmitary 3, 1920 



Electric Railway Journal 



,57 



Electric Railway Receiverships 

The Companies Forced Into Receivership During 1919 Exceed in Number, Miles and Capitalization Those 

of Any Year Since Statistics Have Been Compiled — At End of Year 10 Per Cent of the 

Companies in the United States Are Under the Control of the Courts 



THE FINANCIAL condition of the electric railway 
industry during the past few years is reflected 
in the large number of receiverships during the 
year 1919. The increasing cost of service with sta- 
tionary fares is undoubtedly the main cause which has 
forced more companies to the wall than in any one 
year since annual statistics have been published by 
this paper. The receiverships, as will be noted, are 
not confined to companies operating solely in thinly 
populated territory or in the smaller cities. The larger 
and supposedly more prosperous communities such as 
Providence, St, Louis, Brooklyn, New York, and New 
Orleans, have also seen their local transportation 
systems placed under receivership. These conditions, 
however, while largely the result of accumulated 
burdens of regulation, contained in their franchises 
or of organization weaknesses caji in nearly all cases 
be attributed to the present very unsatisfactory and 
decreased net earning power of the industry. 

The year 1919 saw forty-eight companies in receiver- 
ship while only twenty-eight were sold at foreclosure 
for the protection of their investors or creditors. 
Of the twenty-eight companies that were sold several 
had suspended operation and abandoned their fran- 
chises, the physical property only being sold for what 
it would bring to the junkman. 

The number of properties abandoned, however, are 
not all shown in the list of receiverships for several 
companies voluntarily suspended service and abandoned 
their franchises. These, however, were small com- 
panies. With the approval of the state commissions, 
several of the larger companies have suspended service 
over certain non-profitable routes, without removing 
the tracks, which would necessarily mean that the 
investment must be written off the books and securities 
to that amount retired. In many cases this was finan- 
cially impossible, for suspensions as a rule were made 
only to conserve the ever-declining net operating 
revenue. The creation of a surplus and a sufficient 
depreciation reserve were out of the question. 

The accompanying compilations are designed to cover 
all companies in the hands of receivers on Jan. 1, 
1919, and to show those that have been forced into 
receivership as well as those sold at foreclosure or 
reorganized without sale during the year. The 
figures as to mileage, stock and bonds have in most 
cases been checked by the companies concerned. In 
cases where the statistics did not have the approval 



of the company concerned, they were taken from the 
several financial manuals and the average taken when 
any disagreement existed. All figures, with the excep- 
tion of receivers' certificates, are for the date of 
receivership. The receivers' certificates are as of Dec. 
31, 1919. 

In the case of some companies such as New York 
Railways, Pittsburgh Railways and Brooklyn Rapid 
Transit Company, where the system is made up largely 
of leased lines, the figures are intended to show all 
of the securities in the hands of the public that are 
dependent for a return on the company involved in 
receivership. 

This compilation does not show, however, the full 
damage of the year to the industry, for several other 
companies are near the danger line so far as earning 
power, credit and adequate service are concerned. 
Many dividends have been cut and some entirely 
omitted, in order that interest payments on outstanding 
bonds may be continued. No effort has been made to 
tabulate such instances, but the fact that they exist 
is mentioned to make more emphatic that the financial 
condition of all the electric railways not included in 
the compilations is by no means sound. 

The record of receiverships since 1909, Table I, 
indicates the number of companies and their securities 
involved for each successive year. In the 1919 receiver- 
ships approximately 7.8 per cent of the mileage and 
9 per cent of the securities invested in the industry 
were involved, exceeding by a considerable degree any 
previous year. Of the forty-eight companies involved 
in receivership proceedings 50 per cent had less than 
25 miles of track, 20 per cent between 25 and 100 
miles and 30 per cent over 100 miles. The largest 
single company was the United Railways Company 
of St. Louis with 460.9 miles of track, although the 
surface lines of the Brooklyn Rapid Transit Company, 
prior to the time that the Brooklyn City Railroad 
lease was broken, had 537.87 miles of track. 

Most of the receiverships were caused by a default 
in interest payments on outstanding bonds, due to 
revenues not being sufficient to meet the ever-increasing 
cost of operation. In several instances special reasons 
existed. For exam.ple, a receiver was appointed for 
the Berkshire Street Railway at the time the train- 
men went out on strike and later, after operation 
was resumed, the receiver was discharged without 
prejudice. In Providence the receivership of the Rhode 



TABLE I— RECORD OF ELECTRIC RAILWAY RECEIVERSHIPS 

Number Miles of 

of Single Track Outstanding Securities 

Year Companies Involved Stock Bonds 

1909 22 538.00 $29,962,200 $22,325,000 

1910 11 696.61 12,629,400 75,490,735 

1911 19 518.90 29,533,450 38,973,293 

1912 26 373.58 20,410,700 11,133,800 

1913 18 342.84 31,006,900 47,272,200 

1914 ■. 10 362.39 35,562,550 19,050,460 

1915 ,«- 27 1,152.10 40,298,050 39,372,375 

1916 ..: 15 359.26 14,476,600 10,849,200 

1917... v. ,... 21 1,177.32 33,918,725 33,778,400 

1918 :...'.'. 29 2,017.61 92,130,388' 163,257,102 

-1919,'. •:t..-x:n..':iVi;. .48 3,781.12 221,259,354 312,915,104 



TABLE II— RECORD OF ELECTRIC RAILWAY FORECLOSURE SALES 

Number Miles of 

of Track Outstanding Securities Receiver's 

Year Companies Involved Stock Bonds Certificates 

1909 21 488.00 $22,265,700 $21,174,000 (a) 

1910.. 22 724.36 19,106,613 26,374,075 (o) 

1911 25 660.72 91,354,800 115,092,750 (o) 

1912 18 267.18 14,197,300 10,685,250 * (a) 

1913 17 302.28 15,243,700 19,094,500 (a) 

1914 II 181.26 26,239,700 44,094,241 (o) 

1915 19 308.31 30,508,817 16,759,997 (a) 

1916 19 430.14 13,895,400 22,702,300 (o) 

1917 26 745.19 27,281,900 27.313.045 (a) 

1918 23 524.22 37,740,325 20,149,384 (o> 

1919 28 2,625.48 83,893,400 75,736,738 $42,300 

(a) not available 



58 



Electric Railway Journal 



Vol 55, No. 1 



TABLE III— ELECTRIC RAILWAY RECEIVERSHIPS AND FORECLOSURES AS OF DEC. 31,1919 



Year of 
Receiv- 
ership 
NEW ENGLAND DISTRICT 
Connetticut 

Danbury (Ct.) & Bethel St. Ry 1917 

Hartford & Springfield St. Ry . (Warehouse Point) ... 1918 

The Shore Line Electric Ry. (Norwich) 1919 

Maine 

Atlantic Shore Ry. (Kennebunk) 1915 

Lewiston (Me.), Augusta & Waterville Electric 

R.R. (a) 1918 

Massachusetts 

Bay State St. Ry. (Boston) (a) 1917 

Plymouth ( Mass.) & Sandwich St. Ry 1918 

Blue Hill St. Ry. (Canton) 1919 

Berkshire St. Ry . Co. (Pittsfield) (6) 1919 

New Hampshire 

Portsmouth (N. H.) Electric Ry (a) 1916 

Concord (N. H.) & Manchester Elec. Br. (a) 1916 

Portsmouth, Dover (N. H.) & York St. Ry 1917 

Rhode Island 

Bay State St. Ry. (Newport Div.) 1917 

The Rhode Island Co. (Providence) 1919 

United Traction & Electric Co. (Providence) 1919 

Vermont 

Springfield ( Vt.) Elec. Ry 1918 



Miles of 
Single 
Track 

Involved 



16.00 

48.00 

237.80 

49.93 
165.91 

989.78 

6.40 

19.70 

145.38 

19.03 
31.50 
42.33 

22.20 
101.15 
289.93 

9.00 



Capital 
Stock 



-Outstanding Securities- 



$320,000 

785,000 

1,000,000 

1,000,000 
3,000,000 

24,531,500 

151,800 

300,000 

5,398,100 



Total, 1-1-19 11 cos. 1,400.08 

Receiverships added during 1919 5 cos. 794.06 

Less those sold or reorganized during 1919 5 cos. 1,351.60 

Net receiverships, 12-31-19 11 cos. 842.54 



250,000 
(c) 

(d) 
9,685,500 
8,000,000 

100,800 

$30,139,100 
24,383,600 
33,179,600 
21,343,100 



NORTH OF THE OHIO AND EAST OF THE MISSISSIPPI RIVER 
Illinois 

Chicago (111.) & Oak Park Elevated R.R 1911 20.97 

Southern Traction Co. of Illinois (E. St. Louis) (a)... 1914 1 5 . 00 

Chicago, Aurora (111.) & De Kalb R.R 1916 30.20 

Galesburg & Western R.R. (Rock Island) 1919 16.00 

Aurora, Elgin & Chicago R.R. (Wheaton) 1919 170.00 

Indiana 

Winona Interurban Ry. Co. (Warsaw) 1916 70.00 

Beech Grove (Ind.) Traction Co 1917 3.90 

Evansville (Ind.) Rys. Co. (a) 1918 61.50 

Ft. Wayne (Ind.) & No. Indiana Tr. Co. (a) 1919 220.00 

Vineennes (Ind.) Trac. Co 1919 7.50 

Michigan 

Marquette City & Presque Isle (Mich.) Ry 1912 6.00 

Trans St. Mary's Trac. Co. (Sault Ste Marie) (a) 1917 8.01 

.^^6W J 6rS6V 

North Jersey Rapid Transit Co. (Hohokus) 1912 18.00 

Atlantic City (N. J.) & Shore R.R. Co 1915 45.00 

Monmouth County Electric Co. (Red Bank) 1916 18.50 

Ocean City (N. J.) Electric Ry. Co. (fc) 1919 10.00 

New York 

Second Ave. R.R. (New York City) 1908 30.02 

Rochester (N. Y.) Corning & Elmira Trac. Co 1912 (/)6.00 

Buffalo (N. Y.) Southern Ry. Co. (a) 1913 25.35 

Buffalo (N. Y.) & Lake Erie Traction Co 1915 168.00 

Buffalo, Lockport & Rochester (N. Y.) Ry. ((7) 1916 58.20 

Hornell (N. Y.) Traction Co 1917 10.90 

Manhattan & Queens Trac. Co. (Long Island City) . . 1917 22 00 

Binghamton (N. Y.) Ry. Co 1918 49.74 

Buffalo (N. Y.) & Depew Ry ■ 1918 13.59 

Penn Yan (N. Y.) & Lake Shore Ry 1918 10.00 



Brooklyn (N. Y.) Rapid Transit Co. (j) 1918 (Holding Co.) 

New York Consolidated Ry 1918 141.68 

New York Municipal Ry. Corp 1918 67.82 

Surface Lines: 

Brooklyn City R.R. (A) 1919 23 1 . 60 

Brooklyn Heights R.R 1919 36.60 

Brooklyn, Queen's County & Suburban R.R 1919 61 92 

Nassau Electric Ry 1919 1 44 . 39 

Coney Island & Brooklyn Ry 1919 59 53 

Brooklyn & North River R.R. (m) 1919 3 83 

New York (N.Y.) Railways Co 1919 116.22 

Eighth Ave. R.R. Co. (n) 20.01 

Ninth Ave. R.R. Co. (n) 17.37 

Huntington (N. Y.) R.R. Co. (a) 1919 19 97 

Interborough Consolidated Corp 1919 (Holding Co.) 

Ohio 

Sandusky, Norwalk (Ohio) & Mansfield Elec. Ry 1912 33.00 

Cincinnati (Ohio) & Columbus Trac. Co. (o) 1913 53.00 

Cincinnati (Ohio) Lawrenceburg & Aurora Electric St. 

Ry.Co 1913 31.89 

Interurban Rv. & Terminal Co. (Cincinnati) 1914 101.24 

Plymouth & Shelby Trac. Co 1917 6.97 

Pennsylvania & Ohio Ry. Co. (Ashtabula) (a) 1917 26.00 

Columbus Magnetic Springs & Northern Ry. 

(Richwood) (a) 1918 18.50 

Ohio River Electric Rv. (Pomeroy) 1919 12.70 

Springfield (Ohio) Terminal Ry. & Power Co 1919 33.00 

Miamisburg (Ohio) & Germantown Trac. Co. (a) 1919 5.00 . 

Pennsylvania 

Philadelphia & Easton Electric Ry. (Doylestown).... 1912 34.10 

Sunbury (Pa.) & Susquehanna Ry 1913 9.20 

North Branch Transit Co. (Bloomsburg) 1915 30.00 

Southern Cambria Ry. (Johnstown) (6) 1917 30.00 

Buffalo & Lackawanna Trac. Co. (Erie) 1918 8.80 

Cumberland Ry. Co. (Carlisle) 1918 12.40 

Pittsburgh (Pa.) Rys 1918 605.25 

Scranton (Pa.) & Binghamton Ry 1918 50.00 

Carbo* Transit Co. (Mauch Chunk) (a) 1918 12.50 

Philadelphia (Pa.) Railways Co 1919 16.00 

Penn Central Rv. Co. (Johnstown) 1919 7.50 

Northampton Traction Co. (Easton) 1919 21.00 

Northampton, Easton (Pa.) & Washington Trac. Co.. 1919 17.80 

Northwestern Pennsylvania Ry. Co. (Meadville) (a) . 1919 69.40 



$10,000,000 
(e) 

950,000 

500,000 

6,200,000 

750,000 

150,000 

1,519,400 

6,500,000 

350,000 

200,000 
400,000 

800,000 

1,000,000 

350,000 

100,000 

1,862,000 
271,000 
547,200 
7,500,000 
4,000,000 
117,900 
(b) 20,000 
978,995 
305,000 
94,000 
87,788,268 
18,900,000 
2,000,000 

12,000,000 

2,000,000 

2,000,000 

15,000,000 

2,983,900 

100,000 

24,932,304 

1,000,000 

800,000 

30,000 

50,403,634 

600,000 
1,904,500 

808,900 
3,500,000 

200,000 
1,300,000 

230,000 
300,000 
350,000 



Total, 1-1-19 39 COS. 

Receiverships added during 1919 (o) 20 cos. 

Less those sold or reorganized during 1919 15 cos. 

Net receiverships, 12-31-19 (o) 44 cos. 



1,963.54 

1,317.03 

901.40 

2,379.17 



612,600 
600,000 
500,000 

1,000,000 

55,000 

350,000 

21,726,750 

6,000,000 
150,000 
400,000 
250,000 
500,000 

1,250,000 

1,500,000 

$92,252,445 
79,046,204 
32,981,100 

138,317,549 



Funded 
Debt 



$588,500 

961,000 

6,700,000 

1,746,250 
3,659,000 

24,345,000 

None 

250,000 

1,600,000 

474,661 
473,000 
707,000 

996,800 
1,662,000 
9,000,000 

100,000 

$34,051,211 
19,212,000 
30,551,661 
22,711,500 



$6,537,000 
(e) 

427,500 

521,000 

8,887,000 

2,343,700 
100,000 

2,129,000 

11,801,700 

235,000 

100,000 
150,000 

800,000 

950,000 

500,000 

75,000 

5,631,000 

1,000,000 

600,000 

7,066,000 

2,750,000 

150,000 

(j) 2,186,390 

2,390,000 

350,000 

100,000 

126,107,477 

22,967,000 

60,000,000 

(0 12,305,477 

(0 8,242,174 

(0 9,256,710 

(0 20,787,115 

(0 6,223,298 

(0 261,318 

66,333,930 

750,000 

3,000,000 

26,000 

67,825,000 

600,000 
748,000 

750,000 

1,650,000 

200,000 

700,000 

250,000 

315,000 

250,000 

50,000 

911,000 

640,000 

532,500 

1,284,500 

1,000,000 

404,700 

41,579,500 

4,100,000 

208,400 

400,000 

'"1,069,000 

739,000 

2,060,000 

$173,785,890 

153,527,922 

38,898,077 

288,415,735 



Receivers' 
Certificates 



$60,000 
None 
None 

None 
None 

None 
None 
None 
None 



25,000 

None 
None 
None 

22,323 
$107,323 



$107,323 



$1,645,000 

None 
None 

None 



None 
None 
None 
None 
50,000 

None 
None 

None 
None 
17,500 
None 

3,140,000 

None 

41,800 

1,313,000 

None 

25,000 

None 

None 

50,000 

18,000,000 
5,000,000 
13,000,000 

None 
None 
None 
None 
None 
None 
None 



None 
None 



None 
None 



None 
None 



500 

None 
None 
None 

None 

None 
None 
None 
None 

None 



None 

5,000 

None 
None 

$24,232,800 

55,000 

42,300 

24,245,500 



Island Company was caused 
largely by jitney competi- 
tion and demands for in- 
creased wages by the train- 
men. In New York and 
Brooklyn, the receiverships of 
the New York Railways and 
the surface lines of the Brook- 
lyn Rapid Transit Company 
were caused by the inability 
of the companies to meet 
their obligations under a 
5-cent fare with free trans- 
fers. In Huntington, Long 
Island, the company was left 
without power and had to 
cease operations, with the 
result that a receiver was 
appointed to protect the 
physical property. In the 
cases of the Northampton 
Traction Company and the 
Northampton, Easton and 
Washington Railway re- 
ceiverships were largely the 
result of strikes by the train- 
men for increased wages. In 
Jacksonville, Fla., the refusal 
of the people at a referendum 
to vote the company an in- 
crease in fare from 5 to 7 
cents caused the receivership. 
The United Railways of St. 
Louis receivership was caused 
by the inability of the com- 
pany to repay the six-months' 
loan of $3,235,000 made to 
it by the War Finance Cor- 
poration on June 1, 1918. 

Foreclosure Sales 

The foreclosure sales in 
1919 numbered twenty-eight 
and involved nearly $150,000,- 
000 of securities, exceeding 
each preceeding year with 
the exception of 1911, when 
the securities involved only 
were greater. Five more 
companies than in 1918 were 
foreclosed, involving nearly 
five times as much mileage 
and three times as much 
capitalization. The sale of 
the former Bay State Street 
Railway Company had much 
influence on these figures, for 
it involved nearly 1000 miles 
of track and $48,000,000 of 
securities. This property was 
sold to the Eastern Massa- 
chusetts Street Railway, a 
company organized in accord- 
ance with a "special act" of 
the State legislature and 
which provided for the ap- 
pointment of five trustees by 
the governor to operate the 



Jantiary 3, 1920 



Electric Railway Journal 



59 



property for a period of ten 
years. 

No separate table of fore- 
closure sales has been made, 
but such companies as have 
been sold during the year 
have an affix (a) after their 
name in Table III. The 
majority of the properties 
foreclosed in 1919 are still 
operating in some reorganized 
or new form. 

These w^recked companies, 
together with those whose 
abandonment in 1919 was a 
voluntary act or an aftermath 
of receivership and sale in 
prior years, are shown in 
Table II. 

Abandonments and 

Suspensions 

An effort was made to 
separate abandoned and dis- 
mantled roads from those on 
which service had only been 
suspended and the physical 
property neither removed or 
sold. Companies which are 
known to have ceased opera- 
tion and of which nothing 
can be learned to give hope 
of again reopening are in- 
cluded in the first-named 
class. 

In the case of companies 
suspending service either in 
whole or in part, no attempt 
has been made to estimate 
the capitalization involved, 
due to the fact that in prac- 
tically all cases any pro-ration 
on a mileage basis is value- 
less because the rolling stock 
and power-station equipment 
remain useful for other parts 
of the line still in operation. 
To estimate the value of 
securities involved in track 
and roadway construction is 
impossible without exact 
knowledge of the existing 
construction. 

Table IV is by no means com- 
plete, as to make it so would 
involve longer research than 
time permitted. Only such 
companies as have been re- 
ported in this paper from 
time to time are included in 
these lists. 

A few words might be said 
with regard to some of the 
lines that have been aban- 
doned. The London & Lake 
Erie Traction Company ad- 
vises that the city of St. 
Thomas (Ont.) has purchased 



Miles of 
Single 
Track 

Involved 


Capital 
Stock 


Funded 
Debt 


Receivers' 
Certifioatee 


32.80 

153.65 

38.00 

7.63 


$325,000 

(p) 4,230,000 

(r) 2,000,000 

75,000 


$1,500,000 

(p) 8,820,504 

(r) 1,430,000 

225,000 


None 

None 

$250,000 


26.11 
64.10 


300.000 
1,500,000 


250,000 
2,074,500 


None 
20,000 


9.50 
59.10 


100,000 
(r) 3,500,000 


194,000 
(r) 3,500,000 


None 
None 


19.34 
4.50 


350,000 
10,000 


1,023,000 
24,500 


None 
None 


13.50 
9.08 


(r) 1,600,000 
(r) 500,000 


(r) 915,000 
(r) 350,000 


None 


30.40 
79.80 


5,000,000 
(r) 5,000,000 


10,094,000 
(r) 6,185,000 


None 
None 


27.00 
7.00 

39.00 
6.00 


345,000 

(t) 400,000 

1,869,600 

36,000 

$1,405,000 

25,735,600 

1,160,000 

25,980,600 


500,000 

(() 300,000 

4,762,000 

None 


214,000 
None 
None 


83.95 


$2,097,500 

40,050,004 

1,647,500 

40,500,004 




542.56 
59.03 


$270,000 


567.48 


270,000 



T.\BLE III— ELECTRIC RAILWAY RECEIVERSHIPS AND FORECLOSURES AS OI DEC. 31, 1919- 

Continued 
SOUTH OF THE OHIO AND EAST OF THE MISSISSIPPI RIVER 



Year of 
Receiv- 
ership 
Alabama 

Birmingham (Ala.) Tidewater Ry 1919 

Birmingham (Ala.) Ry. Lt. & Power Co 1919 

Montgomery (Ala.) Lt. & Traction Co 1919 

North Alabama Traction Co. (Albany) 1919 

Florida 

St. Petersburg (Fla.) & Gulf Ry . Co. (a) 1918 

Jacksonville (Fla.) Traction Co 1919 

Georgia 

City & Suburban Ry . Co. (Brunswick) 1919 

Savannah (Ga.) Electric Co 1919 

Kentucky 

Paducah(Ky.) Traction Co. (6) 1918 

Southern Traction Co. (Bowling Green) (s) 1918 

Mississippi 

Jackson (Miss.) Light & Traction Co 1919 

Pascagoula (Miss.) St. Ry. & Power Co. (a) 1919 

T6I1116SS66 

Memphis (Tenn.) Street Railway 1919 

Chattanooga (Tenn.) Ry. & Light Co 1919 

West Virginia 

Morgantown (W. Va.) & Wheeling Trac. Co. (w) 1916 

Grafton (W. Va.) Light & Power Co 1917 

West Virginia Traction & Electric Co. (Wheeling) .... 1919 

South Morgantown (W. Va.) Traction Co 1919 

Total, 1-1-19 5 cos. 

Receiverships added during 1919 13 cos. 

Less tjiose sold or reorganized during 1919 4 cos. 

Net r ec eive rships, 12-31-19 14 cos. 

I^ST OF THE MISSISSIPPI RIVER 

Arizona 

Tucson (Ariz.) Rapid Transit Co 1919 

Colorado 

Denver (Colo.) & Interurban R.R 1918 

Colorado Springs (Colo.) & Cripple Creek R.R 1919 

Idaho 

Boise (Idaho) Railway Co. (a) (v) 

Iowa 

Des Moines (la.) City Railway Co 1918 

Kansas 

lola (Kan.) Electric Railroad (w) 1918 

Southwestern Interurban Ry. (Winfield) 1919 

Louisiana 

New Orleans (La.) Ry. & Light Co 1919 

Minnesota 

St. Paul Southern Ry . Co. (Hastings) 1918 

Missouri 

Kansas City (Mo.) Outer Belt Electric R.R 1912 

Kansas City, Ozark & Southern Ry. (Ava.) 1913 

Kansas City (Mo.) Lawrence & Topeka R.R 1919 

United Railways Co. of St. Louis (Mo.) 1919 

Missouri Electric R.R. (St. Louis) 1919 

Oregon 

Southern Oregon Traction Co. (Medford) 1918 

Abilene (Tex.) Street Railway Co. (a) (y) 

Corpus Christi (Tex.) Ry. & Light Co 1919 

Greenville (Tex.) Railway & Light Co 1919 

Washington 

Spokane & Inland Empire R.R. Co. (a) 1919 

Total, 1-1-19 9 cos. 

Receiverships added during 1919 10 cos. 

Less those sold or reorganized during 1919 4 cos. 

Net receiverships, 12-31-19 15 cos. 



4.25 



44.43 
75.80 



7.73 
90.40 



10.50 
25.00 



$500,000 

101,500 
2,000,000 



1,305,000 

150,000 
150,000 



220.00 (J-) 30,199,250 
17.54 658,225 



15.00 

12.75 

460.90 

20.00 

8.19 

4.75 

10.00 

8.00 

290.47 

198.54 
1,127.17 

313.45 
1,002.26 



None 

300,000 

251,000 

41,296,000 

1,000,000 

150,000 

25,000 

(e) 

300,000 

16,397,700 

$2,689,725 
92,093,950 
16,572,700 
78,210,975 



$114,800 

1,079,000 
2,827,878 

75,000 

5,807,000 

150,000 

None 

(r) 38,778,000 

425,400 

1,298,000 

None 

400,000 

52,590,000 

700,000 

150,000 

30,000 
(e) 
300,000 

4,414,500 

$9,014,400 

100,125,178 

4,669,500 

104,470,078 



None 

None 
50,000 

None 

73,611 

None 

None 

(r) 500,000 
40,000 
100,000 

None 
2,300,000 

None 



None 
None 

213,611 
2,850,000 

' 3,06 3,6 ii 



RECAPITULATION 



Total, 1-1-19 64 3,646.11 $126,486,270 $218,949,001 $24,553,734 

Receiverships added during 1919 48 3,781.12 221,259,354 312,915,104 3,175.000 

Less those sold or reorganized during 1919 28 2,625.48 83,893,400 75,766,738 42,300 

Netreceiverships, 12-31-19 84 4,801.75 263,852,224 456,097,367 27,686,434 

NOTES— 

(a) Sold at foreclosure during 1919. 

(h) Receiver discharged during 1919; no foreclosure sale. 

(c) Included in that of the Atlantic Shore Ry., Kennebunk Me. 

(ft) Figure given in Funded Debt column includes also proportion of capital stock outstanding arp'icatle tc electric 
railway. 

(e) Not available, company inaccessable. 

(/) Graded but no track laid. 

(a) Trustee foreclosed mortgage. 

(h) No full paid capital stock, figure shown covers installment only. 

(i) No outstanding funded debt, but current liability as shown. 

(j) Figures given are for the total amount of securities of B.R.T. Co. in the hands of public, including also these of 
lesser companies, which are guaranteed by B.R.T. Co. 

(k) Lease to Brooklyn Heights cancelled by Court and independent operations ccnncenced Oct. 18. 1919. 

(0 Includes certificates of indebtedness held by B.R.T. 

(m) Operations ceased on Sept. 4, 1919. 

(n) Leases of these two roads to N. Y. Rys. abrogated by the Court and properties returned to their owners. Now 
operated separately. 

(o) Securities of B.R.T. and I.C.C., two holding companies, excluded in totals. 

(p) Railway securities shown. Estimated to be 57 . 2% of the total. 

(r) Securities cover combined property. Not able to separate railway. 

(s) Operation suspended Jan. 1, 1919, and will not be resumed. Company defunct. 

(t) Figures are for railway only. 

(u) But 3 miles of this road is electrified, the balance being operated by steam locomotives. Figures shown are for 
entire property. 

(d) No formal receivership proceedings. 

(w) Operation suspended March 21, 1919. Road being dismantled. 

<x) Has no track built, but owns 7 miles of right-of-way. 

(y) Date of receivership not available, some time previous to Jan. 1 , 1919. 



60 



lii^i^ECTRic Railway Journal 



: Jammiry 3, 1920 



TABLE IV— ABANDONMENTS (ENTIRE LINE) 



Miles 

Miamisburg & Germantown (o) 5 . 00 

Parkersburg (W. Va.) & Ohio Vy. Elec. 

Ry. (c) 4.60 

Lob Angeles & San Diego (Cal.) Beach Ry . 21.54 
Indiana Utilities Co. (Lake James Ry .) .... 3 . 75 
Kansas Electric Utilities Co. (Parsons, 

Kan.) 7.50 

Lebanon & Franklin Traction Co. (Day- 
ton, Ohio)(c) 10.80 

Suburban Traction Co. (part of Interur- 

ban Ry. & Terminal Co.) 

■ Columbus, Magnetic Springs &' Northern 

Ry 18.50 

lola (Kan.) Electric R.R 10.50 

' Ft. Scott (Kan.) Gas & Elec. Co 7 . 00 

Swansea (Mass.) & Seekonk St. Ry. Co. . . 10.12 
Southern Trac. Co. (Bowling Green Ky.).. 4.50 
Madison Lt. & Ry. Co. (Madison, Wis.) (c) 3 . 50 

Alton & Jacksonville Ry 6 . 80 

Pascagoula (Miss.) Ry. & Pr. Co 9.08 

(a) Covers capitalization of combined propertiti 

(6) Not available. 

(c) In 1918 list of suspensions. 



Stock 



Bonds Rec. Cer • 
$50,000 



$150,000 150,000 

562,500 375,000 

(a)206,0O0 (a) 105,000 



(fe) 
80,000 

(ft) 

230,000 
150,000 
116,700 

10,000 



(6) 
135,000 

(6) 

250,000 
150,000 
97,000 
80,000 
24,500 



500 



SUSPENSIONS (PARTS OF SYSTEMS INCLUDED AS SPECIFIED) 

Eastern Mass. St. Ry. Co.: Miles 

Fletcher St., Lowell, Mass , , 0.25 

Newburyport to Ipswich Junction, Hamilton. ". 16.22 

Georgetown Sq. to Dummer Academy, Newbury 5. 97 

Bridgewater Cor. to Lund's Cor., New Bedford 27. 05 

■ - - ^3^ 

5.73 
1.42 
3.82 
3.75 
2.61 



•1 



(a) 150,000 (a) 146,000 

(t) (b) 

(0)500,000 (a)350,000 



ABANDONMENTS— SMALL PIECES 

Miles 

Pacific Elec. Ry Co. (Riverside Line in Riverside, South of Jarupa Ave.) 

The Connecticut Co 0.96 

Illinois Central Elec. Ry . (sidings removed) . 20 

Springfield (Mass.) St. Ry. Co. (car house tracks) 0.31 

Interstate Consolidated St. Ry . (siding removed) . 06 

Southern Ry. Co. (Natchez, Miss.) 4. 00 

United Rys. Co. of St. Louis 0.78 

Ocean City (N. J.) Electric R.R. Co. (Wesley Ave. from 9th to 1st sts. and 

let St. from Wesley Ave. to Bay Ave.) 

Buffalo & Lake Erie Trac. Co. (French St., Erie, Pa.) 0.59 

Hanover & McSherrystown St. Ry. Co 0.80 

Milwaukee (Wis.) Elec. Ry. & Lt. Co 0.52 

Yonkers R.R. Co. (in Hastings) 1 . 00 

Caldwell (Idaho) Traction Co. (Lake Lowell Br.) 2.00 



Lakeville to East Taunton. 

Bridgewater Ctr. to Raynham Ctr 

Oakdale Route, Dedham, Mass. . . •. ;........'.... 

Charles River-Needham Route 

So. Braintree-Randolph Route 

Prospect St.-Montrose Route, Branches from Main Line. 

North Chelmsford to Tyngsboro 3. 28 

New York Railways: 

Ave. C Line (from E 23d St. to Desbrosses St. Ferry) 1 

Spring and Delancey St. Line (from Grand St. Ferry to Chambers St. | 

Ferry ^ 13.85 

Sixth Ave. Ferry Line (from 6th Ave. and 3d. St. to Desbrosses St. 

Ferry 

Tri-City Ry. & Lt. Co. (Muscatine Lines) 10.00 

Nashville (Tenn.) Traction Co. (Whole Co.) 4. 50 

Fernandina (Fla.) Muncipal Ry. (property for sale) 2. 25 

Fryeburg Horse R.R. (Whole Co.) 3. GO 

Oxford Electric Co. (Norway, Me.) (Whole Co.) 2.13 

Worcester & Warren St. Ry. Co. (Brookfield, Mass.) 20. 10 

Conway (N. H.) Elec. St. Ry. Co. (Whole Co.) 6. 60 

Ocean St. PasBgr. Ry. Co. (Cape May, N. J.) 1.40 

Fresno(Cal.) Traction Co. Passenger Service Co.) Lines, Fresno 8.14 

Sacramento (Cal.) Northern R.R. (Chico to Hamilton) 1 1 . 00 

Brooklyn & North River R.R. (N. Y.C.) (Manhattan Bridge) 3 . 83 

Yonkers Railroad Co (In Hastings) 1 . 50 

Empire State R.R. Corp (East River Rd. route between Riverside Ceme- 
tery in Scriba to Southerly terminus) 

Buffalo & Lackawanna Trac. Co. (Local service between terminal at La- 
fayette Sq., Buffalo & Lackawanna City Line) 

Buffalo & Lake Erie (Dunkirk City Lines) 

Pelham Park & City Island Ry 

Mid-Crosstown Ry. (N.Y.C.) ' ■. 

Third Ave. Bridge Co. (Queensboro Bridge, N.Y.C.) , 

S. New York Power & Ry. Corp., (Normal School Line in Oneonta) . 

Ohio River Electric Ry. Co. (Pomeroy, Ohio) 

Tiffin-Fostoria & Eastern Elec. Ry. (Tiffin City Lines) 

Marion & Suburban Ry. (Ohio) 

Walla Walla (Wash.) Vy.Ry.(East Walla Walla and Prospect Heights Lines) 

Yakima, (Wash.) Vy. Transportation Co. (North Fourth St. Line) 

Suffolk Traction Co., Patehogue, N. Y 

Abiline(Tex.)St. Ry. Co 

Amarillo (Tex.) St. Ry. Co , 

East Auburn-Turner Line of former Lewiston.Augusta & Waterville St.Ry 
Huntington (N. Y.) R.R. Co. (sold at foreclosure, to be opened up again) 



8.80 
6.27 
3.29 
5.25 
3.63 
1.03 
12.70 



11.61 
4.75 
8.20 
8.29 

19.77 



the car houses, sub-station and other property within 
the city limits, but the traction line between London 
and Port Stanley has ceased operations and the phys- 
ical property is scrapped. The track and line materials 
of the Parkersburg & Ohio Valley Electric Railway 
was sold to a junkman for $16,000. The company 
owned no cars or power plant. The Miamisburg & 
Germantown Traction Company, formerly a part of the 
Cincinnati, Dayton & Toledo Traction Company, prior 
to foreclosure and reorganization, was sold at fore- 
closure and junked. The Los Angeles & San Diego 
Beach Railway, with permission of the California Public 
Service Commission, was abandoned. The Columbus, 
Magnetic Springs & Northern was sold at foreclosure 
and scrapped. The Swansea & Seekonk Street Railway 
ceased operation in August last and is to be sold for 
what it will bring for junk. This line was once before 
sold but the townspeople along the line formed a com- 
pany to take over its operation. 

The trustees of the Eastern Massachusetts Street 
Railway have followed a plan of suspending service 
wherever the lines failed to earn their upkeep unless 
the communities affected met the operating deficits as 
provided in the act under which the road is being 
operated. 

In New York the receiver has, with the permission 
of the court, ceased operating the storage-battery lines 
in the downtown section of Manhattan as well as the 
shuttle service over the Manhattan Bridge, formerly 
operated by the Brooklyn & North River Railroad Com- 
pany. The city of New York, however, has instituted 
private bus operation, under city supervision over the 
routes abandoned. 

A few companies heretofore reported as being aban- 
doned were reclaimed — among these was the Ocean 



City (N. J.) Electric Railroad, reported as suspending 
in 1918, which was subsidized by the town and oper- 
ated under a trustee during the summer months with 
satisfactory results. The trustee was discharged on 
Sept. 30, 1919. 

The Sharon Division of the Norwood, Canton & 
Sharon Street Railway, a 5-mile line in Massachusetts, 
resumed operation in July with two 6-cent zones, with 
deficits to be met from the town budget. 

The Richmond & Chesapeake Bay Railroad was taken 
over bj'^ a newly organized company, the Richmond- 
Ashland Railway, and operation again commenced in 
July. Service was also resumed by the New York & 
Pennsylvania Traction Company on its line be- 
tween Canistee, N. Y., and Shinglehouse, Pa., last 
August. 

The Massachusetts Street Railway was organized by 
local men to take over the defunct Bristol & Norfolk 
Street Railway, v.^hich formerly operated between Hol- 
brook and Randolph. It ceased operation in 1918 and 
was sold for junk, but its dismantlement was stopped. 
No information is available to show that service was 
actually resumed. 



National Industrial Conference Board Issues 
Cost-of -Living Bulletin 

According to a bulletin issued by the National Indus- 
trial Conference Board on Dec. 29, there has been an 
increase in the cost of living between July, 1919, and 
November, 1919, of 5.8 per cent. From March, 1919, 
the increase has been 13.5 per cent; from November, 
1918, 10.4 per cent, and from July, 1914, 82.2 per cent. 
The percentages are based on the consumption of an 
avarage family. .. ... 



January 8, 1920 



Electric Railway Journal 



61 



Association News 



Engineering Association Committee 
Assignments and Appointments 

SECRETARY E. B. BURRITT has just issued the 
following lists of subjects to be covered by the Engi- 
neering Association committees and the personnel of 
these committees. The committees are already corres- 
ponding with regard to the year's activities, and a meet- 
ing of the power generation committee will be held in 
New York City on Jan. 5. 

Subject Assignments 

Buildings and Structures: (1) Facilities for pre- 
payment and post-payment fare collection at terminals. 

(2) Investigate use of lag screws instead of bolts in 
timber-deck structures. 

Equipment: (1) Revision of standards for brake- 
shoes and brakeshoe heads. (2) Continue standardiza- 
tion of motor parts. (3) Report on helical gears. (4) 
Investigate feasibility of adopting standard cars. (5) 
Co-operate with way committee on rail heads. 

National Electrical Safety Code: Continue work of 
committee. 

Power Distribution: (1) Continue revision of speci- 
fications of overhead line material. (2) Revise speci- 
fications for crossings of power lines with railroads ; on 
the joint committee with other engineering associations. 

(3) Specifications for catenary line construction. (4) 
Revision of specification for standard stranding of 
cables. (5) Specifications for standard thread for pins 
and insulators. (6) Harmonize specification for elec- 
tric conduit construction with general specification and 
form of contract for railway structures of 1916. 

Power Generation: (1) Recommended forms of con- 
tracts for the purchase of power (a) normal, (b) emer- 
gency. (2) Powdered coal, oil, gas and special fuels 
for use in electric railway power plants. (3) Tabula- 
tion of statistics on cost of power in typical cases of 
various sized plants. (4) Appoint member on na- 
tional committee on standardization of method for de- 
termining cost of power, when this subject becomes 
active. 

Way Matters: (1) Complete standard specifications 
for track spirals. (2) Standard sections for curved rail 
heads — in co-operation with committee on equipment. 
(3) Study of progress made in rail joints. (4) Revise 
specifications for plain bolted special work. (5) Fur- 
ther consideration of specification for wood block 
paving. 

Committee Appointments 

Following are tentative, although nearly complete, 
lists of appointments to the several committees of the 
Engineering Association for the current association 
year: 

Buildings and Structures: H. G. Throop, New York 
State Railways, Syracuse, N. Y., chairman ; E. H. Berry, 
Cincinnati rOhio) Traction Company; R. C. Bird, Cen- 
tral Traction & Lighting Bureau, New York City; 
B. P. Legare, United Railroads of San Francisco, Cal.; 
James Link, Knoxville TTenn.) Railway & Light Com- 



pany, Knoxville, Tenn. ; W. H. Wharton, Brooklyn (N.Y.; 
Rapid Transit Company. 

Equipment: Daniel Durie, West Penn Railways, Con- 
nellsville. Pa., chairman; W. S. Adams, J. G. Brill Com- 
pany, Philadelphia, Pa. ; H. A. Benedict, Public Service 
Railway, Newark, N. J.; R. H. Dalgleish, Capital Trac- 
tion Company, Washington, D. C, James C. C. Holding, 
Midvale Steel & Ordinance Company, Philadelphia, Pa. ; 
H. A. Johnson, Metropolitan West Side Elevated Rail- 
way, Chicago, 111.; J. S. McWhirter, Third Avenue 
Railway, New York City; E. D. Priest, General Elec- 
tric Company, Schenectady, N. Y. ; F. W. Sargent, 
American Brake Shoe & Foundry Company, New York 
City; K. A. Simmon, Westinghouse Electric & Manu- 
facturing Company, East Pittsburgh, Pa. ; J. M. Yount, 
United Railroads of San Francisco, San Francisco, Cal. 

National Electrical Safety Code: J. H. Libbey, East- 
ern Massachusetts Street Railway, Boston, Mass., chair- 
man; C. A. Greenidge, J. G. White Management Corpora- 
tion, New York City; C. S. Kimball, Washington Rail- 
way & Electric Company, Washington, D. C. 

Power Distribution: Chas. R. Harte, The Connect- 
icut Company, New Haven, Conn., chairman; C. C. 
Beck, The Ohio Brass Company, Mansfield, Ohio; J. H. 
Drew, Drew Electric & Manufacturing Company, Cleve- 
land, Ohio; R. W. Eaton, Public Service Engineer, City 
Hall, Providence, R. I. ; H. H. Febrey, American Steel 
& Wire Company, New York City; C. J. Hixson, Gen- 
eral Electric Company, Schenectady, N. Y. ; Chas. H. 
Jones, Metropolitan West Side Elevated Railway, Chi- 
cago, 111.; J. H. Libbey, Eastern Massachusetts Street 
Railway, Boston, Mass.; F. McVittie, New York State 
Railways, Rochester, N. Y. ; M. B. Rosevear, Public 
Service Railway, Newark, N. J.; W. Schaake, Westing- 
house Electric & Manufacturing Company, East Pitts- 
burgh, Pa.; A. Schlesinger, Terre Haute, Indianapolis 
& Eastern Traction Company, Indianapolis, Ind. 

Power Generation: A. B. Stitzer, Republic Engi- 
neers, Inc., New York City, chairman; H. P. Bell, San 
Francisco-Oakland Terminal Railways, Oakland, Cal.; 
N. A. Carle, Public Service Electric Company, Newark, 
N. J.; H. E. Davis, New York State Railways, Utica, 
N. Y.; C. W. De Forrest, Union Gas & Electric Com- 
pany, Cincinnati, Ohio ; W. S. Finlay, Jr., Interborough 
Rapid Transit Company, New York City; C. A. Green- 
idge, J. G. White Management Corporation, New York 
City; F. C. Hanker, Westinghouse Electric & Manu- 
facturing Company, East Pittsburgh, Pa. ; A. H. Kruesi, 
General Electric Company, Schenectady, N. Y. ; E. H. 
Scofield, Minneapolis (Minn.) Street Railway; Fred'k 
A. Scheffler, Fuller Engineering Company, New York 
City; W. C. Slade, The Rhode Island Company, Provi- 
dence, R. I. 

Way Matters: R. C. Cram, Brooklyn (N. Y.) Rapid 
Transit Company, chairman; W. F. Graves, Montreal 
(Que.) Tramways, vice-chairman; H. A. Abell, New 
York State Railways, Rochester, N. Y. ; Charles A. 
Alden, Bethlehem Steel Company, Steelton, Pa. ; Wm. R. 
Dunham, Jr., The Connecticut Company, New Haven, 
Conn. ; H. Fort Flowers, Differential Car Company, Inc., 
New York City; A. E. Harvey, Kansas City (Mo.) 
Railways; E. C. Johnson, Pacific Electric Railway, Los 
Angeles, Cal. C. G. Keen, American Railways, Phila- 
delphia, Pa.; E. M. T. Ryder, Third Avenue Railway, 
New York City; C. A. Sinclair, Washington & Virginia 
Railway, Washington, D. C. ; E. A. West, Denver (Colo.) 
Tramway. 



62 



Electric Railway Journal 



Vol. 55, No. 1 



Accounting Discussed at Providence 

WE. JONES, general accountant The Rhode 
• Island Company, was the principal speaker at 
the meeting of the Rhode Island Company section held 
on Nov. 3. He gave the 100 members present a graphic 
picture of the amount of detail vv^ork necessary on the 
part of the accounting department in properly record- 
ing and reporting the company's operations. He de- 
scribed the many financial reports which are compiled, 
and touched on the company's financial condition as re- 
flected by those reports. He stated that out of every 
dollar expended on the property during the nine months 
ended Sept. 30, 1919, 67 cents went for employees' 
wages, exclusive of the amount paid on the monthly 
payroll. This left but 33 cents with which to buy coal, 
materials, and supplies, etc., pay accident and damage 
claims, and provide for other general expenses. A very 
small margin was left with which to pay taxes and any 
return on the investment. 

Mr. Jones stated the following to be the relative 
amounts expended on the various accounts, in terms 
of cents on the dollar: Maintenance of way and struc- 
ture, 10; maintenance of equipment, 9; power, 13; con- 
ducting transportation, 39 ; traific in general and miscel- 
laneous, 11; taxes, 9, and rentals and interest, 9. 

Among items of business taken up at the meeting 
was the matter of a meeting place for the section. It 
was decided that future meetings would be held in 
Slocum Post Hall, and the date of the meeting was 
changed to the second Thursday of each month. C. E. 
Redfern, ex-president of the section, stated that provi- 
sion for the expenses of the monthly meeting had been 
made in such a way that it would not be necessary to 
make any additional assessments. He also outlined a 
campaign for increasing membership. The section voted 
to continue affiliation with the American Electric Rail- 
way Association. 

British Tramway Workers Get Large 
Wage Awards 

THE Interim Court of Arbitration of Great Britain 
has awarded large increases in wages to employees 
of tramways, light railways and omnibus lines. The 
present award will, it is stated, add close to $5,000,000 
to the annual wage bills for the tramway industry. In 
a special statement of the Municipal Tramways As- 
sociation it is said that in the effect on the transporta- 
tion industry, crippled by the financial aftermath of the 
war, this last advance is of the utmost gravity. On the 
present basis few tramways, whether municipally or 
privately owned, can continue if they are to maintain 
their undertakings in a sound financial state. In- 
creases in fares will be necessary up to the statutory 
maximum, where the fares are not fully up to the legal 
powers at the present time, and in very many instances 
higher charging powers must be conferred. The result 
will be that the price of transportation must rise with 
the rise in the cost of labor and materials represented 
in its service, just as much as the prices of other com- 
modities have risen for the same reasons. The im- 
mediate need is to lift the basis of fares to a new eco- 
nomic level. 

This is absolutely essential if the country is to be 
assured efficient urban transportation, and the recent 
wage award has made this necessity a matter of ex- 
treme urgency. 



Letters to the Editors 



Mr. Gould Discusses Energy Saving 

Chicago, III., Dec. 26, 1919. 
To the Editors : 

Your report of my remarks in your issue of Dec. 20, 
page 991, is a bit involved. In the discussion of the 
paper on economies in car operation by Mr. Phillips at 
the Grand Rapids meeting, I spoke briefly with a view 
to emphasizing the possibilities for energy saving at 
the car through better handling of the controller and 
brake by the average motorman. Other factors remain- 
ing unchanged, an increase in the average rate of accel- 
eration and retardation will lower the car energy con- 
sumption. 

Fundamental curves showing watt-hours per ton-mile 
plotted against the rate of acceleration in miles per hour 
per second have frequently been published. For a given 
car and equipment, the energy acceleration curve and 
the energy retardation curve have about the same shape^ 
These curves show that faster feeding or faster braking,, 
up to a certain good rate, will bring about a substantial 
reduction in energy consumption, but feeding or brak- 
ing beyond this rate does not appreciably reduce the 
energy demand. It does, however, shorten the power-ou 
time and consequently increases the possible coasting 
time, but these quantities have not the same value in 
equivalent energy reduction as they have in the parts 
of the curve represented by slower feeding and braking. 

Briefly, there is a certain proper rate of feeding and 
braking at which motormen should operate a given car. 
This rate, if maintained, will afford all the reduction in 
energy consumption that consistently can be expected 
through the introduction of power-saving devices. The 
so called "cannon ball" acceleration is undesirable be- 
cause of discomfort to passengers, undue stresses on 
equipment, slipping wheels, blowing breakers and the 
possibility of accidents. And, coupled with these, is the 
f^ct that cannon ball acceleration does not appreciably 
reduce the energy consumption below a good average' 
rate of feeding. 

Through the installation of Economy Railway watt- 
hour meters we have been able conclusively to demon- 
strate the foregoing from the practical operating stand- 
point, and also to show that on cars equipped with watt- 
hour meters motormen will quickly learn to take full 
advantage of the series running position when it means 
reduced energj^ consumption, , rather than habitually 
feeding through to multiple when there is not an oppor- 
tunity to run on the full multiple notch. 

Another point mentioned at the Grand Rapids meet- 
ing, which was not quoted correctly, was my statement 
with regard to distribution and other losses. We have 
conducted a great many tests and sales demonstrations 
with Economy watt-hour meters in regular operating 
service, and in a number of notable instances we have 
not only metered all the motors on a line, but also have 
segregated the line so that we could meter the a. c. or 
d. c. feeders. In this way we obtain a measure of the 
total power at the switchboard and the actual propul- 
sion power as recorded by the Economy meters on the 
cars. 



January 3, 1920 



Electric Railway Journal 



(>5 



The point made at the Grand Rapids meeting was 
that the difference between the power as measured at 
the switchboard and at the cars varies from 6 per cent 
or 8 per cent on a line of a city system to as high as 30 
per cent on an interurban line with rotary converters. 
This difference is made up of conversion and distribu- 
tion losses, lighting and brake-compressor motors, but 
no allowance has been made in the foregoing figures 
for electric heating. The point is that until the actual 
propulsion power is measured at the car and the sum 
of the car readings is compared with the switchboard 
output, the average railway property does not realize 
the slack between energy generated and energy used 
solely for propelling the cars. 

We have reports of energy saving for a period of 
years varying from 10 per cent to 20 per cent, and 
along with this saving the users of Economy meters are 
able definitely to put a money value on their distribution 
losses and miscellaneous uses of power and in numerous 
cases are able to allocate and reduce these losses. The 
foregoing partly illustrates the reason for our slogan: 
"Meter the energy. That's what you want to save." 

L. E. Gould, President. 



Let Railways Do the Bussing and Trucking 

New York, Dec. 26, 1919. 
To THE Editors: 

The Dec. 10 quarterly meeting of the New York Elec- 
tric Railway Association was marked by some able 
papers and discussion on the inroads of the motor truck 
and, to a lesser extent, on the competition of the motor 
bus. Unadulterated objection to auto-motive equipment, 
it is pleasing to see from this meeting, is giving way to 
the desire to learn just what there is in the motor truck 
and the motor bus from the economic and service stand- 
points. 

Indeed, it is high time that the facts of the auto- 
motive situation were faced without self-deception. If 
the electric railways could secure "a fair field and no 
favor," the scope of the motor bus and the motor truck 
would be greatly circumscribed. Unfortunately, several 
years of agitation have brought amelioration only in 
spots. Neither of the two junior common carriers is 
generally subject to anything like the flock of taxes, 
of service and of rate regulations that have descended 
in the course of time upon both the steam railroad and 
electric railway, and candor compels the confession that 
the self-propelled vehicles are not likely to be subjected 
to similar burdens within a period near enough to be of 
substantial help to the older utilities. 

We have but to study the course of events in Great 
Britain to see why genuine relief is rem.ote. In that 
country, the tramways have agitated for years and 
years against the unfair competition of the motor bus; 
unfair because the bus could enter the public service 
field so readily, could compete with existing lines, could 
charge any fare the traffic would bear and yet withal 
pay almost nothing to the community. Indeed, it has 
taken more than a decade of hard work to secure local 
legislation on such an obvious matter as motor-bus 
charges for road maintenance. As for overall parity in 
taxation, that is as far off as ever. 

If the municipally-owned tramways of Great Britain 
have sought justice in vain against the encroachments of 
privately-owned bus companies, what chance have the 
electric railways of the United States? It is still as 
nr.uch as a politician's life is worth to introduce or vote 



for measures that will give a square deal to our electric 
railways. Had we not better follow the example of the 
British tramways, both public and private, and go into 
the automotive game, too? Perhaps, the quickest way to 
insure that self-propelled vehicles be made to assume 
the burdens of the common carrier is to inaugurate 
such services ourselves ! There is little likelihood that 
effective legislation can be obtained against the small 
sniper of traffic. He is hard to regulate at best, and he 
is frequently the recipient of much sympathy from that 
part of the public which doesn't love a corporation. Fur- 
• thermore, the public will not readily tax out of existence 
a new and fiexible mode of transportation which it has 
found so convenient a supplement to transit on rails. It 
is notworthy that even the drastic lesson of Toledo has 
not resulted in the banishment of bus operation there. 

The problem of making self-propelled vehicles pay 
their due share of road upkeep is not so simple as it 
seems. The paving burdens of the electric railway's 
predecessor did not arise solely from the harm caused 
to cobbles by the hoofs of its horses; there was a well- 
defined feeling that the railway ought to pay something 
for getting a sort of right-of-way that the placing of 
rails on the highway was a hindrance rather than a help 
to other traffic. A parallel charge can hardly be made in 
the case of buses or motor trucks employed in public 
service, inasmuch as they use exactly that same runway 
as other vehicles. Just what roadway maintenance 
charge should be assessed against a 11-ton or 2-ton bus 
running every hour or half-hour over a state highway 
that carries scores to hundreds of private vehicles per 
hour? If, as in at least one Eastern State, there is a 
special State tax of $2 per seat per annum for public 
service vehicles as such (aside from other vehicle taxes) , 
it cannot be asserted that the bus is not contributing 
something toward the upkeep of the highway. 

Above and beyond all is the fact that so large and so 
influential a part of the population now has a selfish 
interest in securing ever-better roads, that no evidences 
of road destruction by public-service or private-service 
vehicles will halt the spending of money for roadway 
improvement. It is not difficult to foresee the day when 
the automotive interests will clamor for the removal of 
the suburban or cross-country railway in unpaved 
track, which follows a non-paved highway, because it 
is using to the exclusion of others, one-fourth to one- 
third of the entire roadway for the sake of running a car 
every 60, 30 or even 15 minutes at a lower speed than 
the bus. Let us not overlook the fact that there is a 
considerable kick in an industry that now numbers 
nearly 7,000,000 licensed vehicles. 

It would be a sad error to ignore either the motor bus 
or the motor truck development merely because many 
of the pioneers have come to grief in the public service 
despite the advantages they enjoyed in lighter taxation 
or no taxation at all. Every young industiy makes mis- 
takes. The automotive field is already passing out of 
the haphazard, individual-operator stage into that of 
skilled organizations which are capable of determining- 
where to draw the line in character and cost of service. 
Such organizations, whether for goods or passenger 
carriage, should logically be an integral part of existing 
railway systems. That has been the development abroad 
and that must be the development here if we ai'e to be 
spared a ruinous struggle between modes of transporta- 
tion which should and can be reciprocal instead of 
antagonistic. Carryall. 



64 



Electric Railway Journal 



Vol. 55, No. 1 



Bulletin News Page 

Summary of the Principal Happenings of the Industry of Current Interest Since 
the Last Issue of this Paper was PubHshed 



PRINTED JANUARY 2. 1920 



Both the municipal and the private 
tramways in Great Britain are seri- 
ously affected by the award of the court 
of arbitration increasing the wages of 
adult tramway employees. Taking into 
account the present and the previous 
increases of wages and the shortening 
of hours it is contended that on the 
present basis of fares few, if any, of 
the municipal undertakings can carry 
on. As for the private companies, they 
are calling upon the government to 
amend the antiquated limitations of 
maximum fares and for relief from 
street maintenance and other expenses. 

The directors of the North Eastern 
Railway have provisionally sanctioned 
a scheme for the electrification of the 
main line between York and Newcastle, 
a distance of 80 miles, and of a loop 
line 31 miles long. 

A Swiss firm has outbid English con- 
cerns for turbines for Edinburgh. 

The Railroad Commission of Cali- 
fornia informs the Governor that one 
of the big problems facing the commis- 
sion is the settlement of the electric 
railway situation. The commission sees 
the automobile a most formidable and 
determined competitor of the electric 
railway. 

Mayor Couzens of Detroit proposes 
the construction of a $15,000,000 mu- 
nicipal-railway to compete with private- 
ly-owned lines of the Detroit United 
Railway. 

The President's Industrial Conference 
will reconvene on Jan. 12 with public 
hearings to aid in drafting the final 
recommendations of the conference. 
The conference regards as intolerable 
any interruption in essential public 
utilities. 

Robert N. Wooley of the Interstate 
Commerce Commission sees the elec- 
trification of the steam roads as the 
next step that must be taken in the 
transportation world. 

The Boston Elevated Railway will 
have $15,000,000 to spend in the next 
five years as the result of the enactment 
of the Cambridge subway bill. 

There is published this week, prac- 
tically in full, the findings of the arbi- 
tration board increasing the dividend on 
the stock of the Cleveland Railway 
under the Tayler franchise from 6 per 
cent to 7 per cent. 



have filed their reports. It now remains 
to reconcile the figures, which disagree. 

Application has been made to fore- 
close the Shore Line Electric Railway 
in Connecticut. 

Representatives of the bondholders' 
protective committee have purchased the 
property of the Fort Wayne & Northern 
Indiana Traction Company under fore- 
closure. 

The Huntington (N. Y.) Railroad, 
which suspended service on Sept. 21, 
may be put back into operation. 

The Savannah (Ga.) Electric Com- 
pany has been placed in the hands of 
Howard C. Foss, district manager of 
Stone & Webster. 

Important divergencies of opinion 
have developed between Henry L. 
Doherty, operating the Toledo Railways 
& Light Company, and the commission 
appointed by the court to draft plans 
for the settlement of the controversy in 
that city; but it would not appear that 
any of the differences are insurmount- 
able. 

The San Diego (Cal.) Electric Rail- 
way on Jan. 1 installed a zone system 
of fare collection on its lines. The 
city of San Diego is divided into two 
zones with a 5-cent fare for a ride in 
each. 

The Detroit (Mich.) United Railway 
has withdrawn its request for a 1-cent 
transfer charge. It is announced that a 
charge for transfers is no longer 
needed. The company will continue to 
operate on a straight 5-cent fare basis. 

The Charleston (W. Va.) Interurban 
Railroad has applied to the State Public 
Service Commission for an increase in 
rates on its Charleston lines. The in- 
crease asked averages 35 per cent. 

The recent decision of the Illinois 
Supreme Court upholding the power of 
the State Public Utilities Commission to 
increase electric railway rates above the 
limit fixed by municipal franchise pro- 
visions, has ended a dispute of long 
standing between the city of Quincy and 
the commission. 

The flat 6-cent fare ordered for the 
Chicago (111.) Surface Lines by the 
State Public Utilities Commission, went 
into effect at midnight on Dec. 27. It 
will continue pending the final valua- 
tion of the properties and the fixing of 
a permanent rate. 



The three engineers appointed to ap- The State Board of Public Utilities 
praise the Memphis Street Railway Commissioners has authorized the 



Trenton & Mercer County Traction 
Corporation, Trenton, N. J., to increase 
its fare from 6 cents to 7 cents and to 
charge 1 cent for each transfer. 

Colonel Albert T. Perkins, general 
manager for the receiver of the United 
Railways, St. Louis, Mo., has refused 
the request of the St. Louis municipal 
authorities for a conference to discuss 
the question of reducing fares on the 
company's lines. 

The Union Street Railway, New Bed- 
ford, Mass., has been authorized by the 
State Public Service Commission to file 
a new schedule increasing its fare. 

The Interborough Rapid Transit 
Company, New York, at the eleventh 
hour, succeeded in securing funds to 
meet obligations that came due on 
Jan. 1. 

The Tacoma Railway & Power Com- 
pany and the Pacific Traction Company, 
Tacoma, Wash., have filed with the 
State Public Service Commission tariffs 
under which they propose to charge 10- 
cent fares in Tacoma. 

The power to order the abandonment 
of the skip-stop in Memphis, Tenn., 
rests with the State Public Utilities 
Commission, according to a decision 
handed down on Dec. 24 by Judge Mc- 
Call. The city has been enjoined from 
enforcing the terms of an ordinance di- 
recting the Memphis Street Railway to 
stop its cars at all street intersections. 

The preliminary hearings before the 
Connecticut Public Service Commission 
on the zone system in effect on the 
lines of the Connecticut Company, New 
Haven, have been concluded. 

The voters of Salem, Mass., on Jan. 
27, will pass on the action of the City 
Council in barring jitneys from the city 
limits. 

Colonel Timothy S. Williams formerly 
president of the Brooklyn (N. Y.) 
Rapid Transit Company, has announced 
his retirement from all connection with 
the company. 

Federal Judge Julius M. Mayer on 
Dec. 28 instructed the receivers for 
the New York Railways and the Brook- 
lyn Rapid Transit Company to apply 
to the Board of Estimate for a confer- 
ence with city officials, with a view to 
arriving at a final solution of the 
transit problem in New York City. 
The Board of Estimate on Dec. 30 
adopted a resolution calling for an 
investigation of all the traction eoHa- 
panics in New York. ., ffoiirr 



Jamiary 3, 1920 



Electric Railway Journal 



65 



Recent Happenings in Great Britain 

Wage Award Affects Tramways Seriously — Eighty-Mile Main Line 
Electrification Announced 

(By Our Regular Correspondent) 



The award of the court of arbitra- 
tion increasing the wages of adult 
tramway emplayees by 4s. a week and 
of youths by 2s. a week, threatens to 
place British tramway undertakings 
in as bad a financial position as that 
now^ existing in connection with Ameri- 
can electric railways. After the two 
tramway associations had time to con- 
sider the position, they issued state- 
ments in the latter part of October. 

Railway Crisis at Hand 
The Municipal Tramways Associa- 
tion oays that the award has precipi- 
tated a crisis which for some time past 
had been overtaking the urban trans- 
portation industry. The report refers 
to the accumulation of arrears of main- 
tenance and repairs during the war, 
to the fact that overtaking of the ar- 
rears can now be carried out only at 
greatly increased cost, and to tne 
fact that tramway extensions required 
for the development of new housing 
schemes cannot be undertaken owing to 
financial embarrassment. 

The present award will add nearly 
£1,000,000 to the annual wages bill. 
This raises the cost of transportation 
to a level which it is hard to justify. 
Taking into account also previous in- 
creases of wages and shortening of 
hours, it is contended that on the pres- 
ent basis of fares few if any under- 
takings can carry on. Immediate in- 
creases of fares up to the statutory 
maximum will be necessary. Even 
such increases will not prevent some 
of the weaker concerns from having 
to cut their losses and go out of busi- 
ness. 

Municipal Tramways Also Suffbk 

No less emphatic is the report issued 
by the conference of tramway com- 
panies who are members of the Tram- 
ways & Light Railways Association. 
It is affirmed that to bear the burden 
and give an efficient service the indus- 
try must be put on such a basis as 
will enable it to yield a fair return on 
capital spent and to attract fresh 
capital for developments. The govern- 
ment is called on to amend the anti- 
quated limitations on maximum fares 
and to relieve the undertakings of 
street maintenance and other expenses 
which do not properly belong to the 
tramway service. The relief which 
has been granted under the statutory 
undertakings (temporary increase of 
charges) act, 1918, is inadequate and 
is only temporary. Some change is 
also necessary as to workmen's fares 
which at present result in a loss. As- 
suming the existing conditions to con- 
tinue (the report affirms) the inevitable 
end is bankruptcy, first of the weaker 
undertakings, and later even of the 
strongest. 

It will thus be seen that here as well 



as in America there is need for a care- 
ful general investigation. Now that 
we have a Ministry of Transport pos- 
sibly justice can be done without any- 
thing in the way of an elaborate in- 
quiry before a special commission such 
as that which l^s been going on in the 
United States. Unfortunately, how- 
ever, for the municipal tramways, they 
were largely excluded and at their own 
desire from the ministry of transport 
act passed last summer. By a strange 
irony the reason advanced for the ex- 
clusion was that they were prosperous. 
They will be prosperous no longer un- 
less something is done. Even if fares 
are continually raised, a point must 
come when a further increase will 
decrease revenue rather than increase it. 
The men employed on the railways 
(as distinguished from the tramways) 
are now putting forward fresh de- 
mands. The standardization of wages 
is again under discussion with the gov- 
ernment. The National Union of Rail- 
waymen are also seeking to have the 
railways administered and directed by 
joint boards of control on which the 
employees would be well represented. 

North Eastern to Electrify 
A step in the latter direction is in- 
dicated in the answer to a Parliamen- 
tary question given in the end of Octo- 
ber. The government intimated that 
it was impossible to consider any joint 
management proposal during the com- 
ing two years of State control of rail- 
ways. It proposed, however, to appoint 
a railway advisory committee and will 
be glad to see one or two railway work- 
ers appointed members of the body. 

Early in November the important an- 
nouncement was made that the direc- 
tors of the North Eastern Railway had 
provisionally sanctioned a scheme for 
the electrification of the main line 
between York and Newcastle, a dis- 
tance of 80 miles, and of a loop line 
31 miles long from Northallerton to 
Ferryhill, via Stockton. It seems 
probable that the work of conversion 
will not be begun for some time yet 
as the Ministry of Transport, which is 
just getting into working order, will 
have to consider the scheme and pro- 
vide for a certain amount of standard- 
ization in view of future electrification, 
and possibly before anything definite 
is done the Ministry will desire to 
await the passing of the electricity sup- 
ply bill which is dragging its way 
slowly through Parliament. 

In any event, the scheme is the big- 
gest thing in the way of heavy elec- 
tric traction which this country has 
yet seen. The main line of the North 
Eastern Company carries every vari- 
ety of traffic from the London and 
Edinburgh express passenger trains to 
slow local trains and heavy mineral 
and goods traffic. 



The protected third-rail system with 
high-pressure direct current is pro- 
posed, but in yards, sidings, and ?jig 
stations overhead wire conductors will 
be used. Electric locomotives will be 
employed throughout and will be fitted 
to take energy both from the third- 
rail and from the overhead wire. The 
details of the present scheme have been 
worked out by Sir Vincent Raven, chief 
mechanical engineer to the North East- 
ern Railway, and Merz & MacLellan, 
consulting electrical engineers to that 
company. 

London Delegation in United States 

Some interesting points emerge in 
connection with the London Under- 
ground Electric Railways. Some time 
ago a delegation representing these 
undertakings sailed for the United 
States where the members are to carry 
on an investigation into the working of 
American electric railways and also the 
manufacturing processes associated 
with them and with automobiles. Oper- 
ation, traffic, engineering — in fact, all 
aspects — will have attention. The mem- 
bers of the commission are Frank Pick, 
commercial manager of the associated 
companies; C. J. Spencer, manager of 
the London United and other tramways 
included in the "underground" group 
of companies; G. W. Shave, engineer 
of London General Omnibus Company; 
and A. R. McCallum, assistant mechan- 
ical engineer to the underground rail- 
ways. 

The scheme of tramway extensions 
which the London County Council 
proposes to promote in the next ses- 
sion of Parliament provides for 43 
miles of track, mostly on the conduit 
system, at an estimated cost of 
£3,031,000. Cars and electric cables 
would cost £245,000 in addition, and 
street widenings £928,000 more, giv- 
ing a total of more than £4,200,000. 
The lines are urgently required, espe- 
cially those for linking up dead-end 
terminals, and it is estimated that tak- 
ing the results over the whole system 
the proposal will be justified on finan- 
cial grounds. This is not very appa- 
rent on the face of it when one looks 
at the enormous cost of construction 
at post-war prices and the very high 
wages now payable to tramway em- 
ployees. However, the extensions 
which have been proposed by the 
London County Council are urgently 
needed as a substantial step toward 
unifying the tramway system of 
London. 

Swiss Outbid English 

Some sensation has been caused by 
the Corporation of Edinburgh accept- 
ing a tender by Brown, Boveri & Com- 
pany, Baden, Switzerland, for the sup- 
ply of turbo-alternators at £106,618. 
This was £70,000 lower than the lowest 
British tender. Sir Charles Parsons, 
of the famous firm of C. A. Parsons 
& Company, who were among the ten- 
derers, has stated that if he had done 
the work without any profit at all he 
would not have come within measurable 
distance of the Swiss offer. 



News of the Eledric Railways 

FINANCIAL AND CORPORATE . TRAFFIC AND TRANSPORTATION 

PERSONAL MENTION 



Wants Buses Halted 

Brooklyn City Railroad to Ask 

Injunction — Commissioner Would 

Operate Bus Lines Permanently 

The Brooklyn (N. Y.) City Railroad, 
which operates the surface lines re- 
cently separated from the Brooklyn 
Rapid Transit System, has served 
notice upon Grover A. Whalen, Commis- 
sioner of Plant and Structures of New- 
York City, that on Jan. 12 it will 
institute legal proceedings to restrain 
him from operating municipal bus lines 
in competition with the lines of the 
company. 

The buses which the company seeks to 
have ban-ed operate in competition with 
several lines of the Brooklyn City Rail- 
road and are under the supervision of 
Commissioner Whalen. The court action 
will be based upon the fact that the 
latter has failed to obtain a certificate 
of convenience and necessity for their 
operation, and that they are materially 
affecting the electric lines' receipts. In 
the papers served upon Commissioner 
Whalen the railroad declares that, un- 
less the buses are halted, the company 
may have. to cease operating certain of 
its lines. 

A recent decision of the State 
Supreme Court concerning the opera- 
tion of a bus line in competition with 
the Niagara Gorge Railroad is thought 
to cover the Brooklyn situation. In that 
case the court granted a pennanent 
injunction against the bus line on the 
ground that the latter had not obtained 
a certificate of public convenience and 
necessity. 

At a recent meeting of the Board of 
Estimate & Apportionment, Commis- 
sioner Whalen recommended that the 
city go permanently into the bus busi- 
ness. He submitted statistics dealing 
with the operating expenses and fixed 
charges for motorbus service over nine 
routes with 100 buses. His estimate 
appears in the accompanying table. 

Buses, 100, at $5,500 $550,000 

Spare parts 10,000 

uarage equipment 10,000 

$570,000 
OPERATION AND MAINTENANCE. 

Liability insurance, accident $50,000 

garag-e 25,000 

Cliauffeurs, 180, at $1,800 324 000 

Depreciation, buses, 30 per cent. . . . 165,000 
Depreciation, other equipment. 10 

per cent 2,000 

One superintendent 3,500 

One assistant superintendent 2,000 

Thirty-two starters and checkers, 

at $1,350 43,200 

One inspector equipment 2,000 

One au'ditor-bool^lteeper 2,500 

Three clerics, at $1,500 4,500 

One stenographer 1,300 

Contingencies 10,000 

Toal of above items, $635,000 

Total of above items per day (100 

buses and 365 days) $1,740 

Total, above items per day per bus, 17.40 
Gasoline, oil and tire per mile : 
(Gasoline, Oil Tires and Repairs) Total 
4 cents Gi cents li cents 12 cents 



Mr. Whalen declared that, if ninety- 
two buses were purchased, the daily 
profit, with 60,000 passengers per day, 
would amount to $376. 



Industrial Conference 
Reports on Labor 

Presidents' Body Will Resume Sessions 

on Jan. 12, When Public 

Hearings Will Begin 

Tentative recommendation for the 
establishment of machinery to prevent 
or retard labor conflicts in private in- 
dustry were announced on Dec. 29 by 
the President's Industrial Conference, 
with a view to obtaining constructive 
criticism before a final plan is adopted. 

The plan, as outlined, contemplates 
the creation of a national industrial 
tribunal and regional boards of in- 
quiry and adjustment, which would 
move to the settlement of disputes be- 
fore there was any stoppage of pro- 
duction. Decisions would have the full 
force and effect of a trade agreement 
between the parties to the dispute. 

Public Utility Service Essential 

Remarking that some public utilities, 
such as railroads, are essential to the 
very existence of the people, the con- 
ference's tentative statement expressed 
the opinion that the "interruption in 
such essential public utilities is intol- 
erable." But the conference states that 
further consideration is required of 
the problem whether some method can 
be arrived at that will avert all danger 
of interruption to service. 

When the conference reconvenes on 
Jan. 12 public hearings will be held to 
obtain expert advice as to the drafting 
of the final recommendations in the 
light of such criticism of the tentative 
report as may be received. 

With regard to public utilities the 
conference made the following state- 
ment: 

,«^^, ?'^" ^^'^^ proposed presents greater 
dimculties in application to certain public 
utilities than to competitive industry The 
c9ntmuous operation of public utilities is 
vital to public welfare. As the capital 
invested is employed in public use, so is 
the labor engaged in public service, and 
the withdrawal of either with the result 
of suspending service makes the people the 
real victim. 

The conference believes that a plan of 
tribunals or boards of adjustment and 
industry should be applied to public utili- 
ties, but in the adaptation of the plan two 
problems present themselves : First, gov- 
ernmental regulation of public utilities is 
now usually confined to rates and services. 
The conference considers that there must be 
some merging of responsibility for regula- 
tion of rates and services and the settle- 
ment of wages and conditions of labor. 
Such co-ordination would give greater 
security to the public, to employee and to 
employer. Second is the problem whether 
some method can be arrived at that will 
avert all danger of interruption to services. 
These matters require further consideration 
before concrete proposals are put forward. 



Competition i(fr Detroit 

Mayor Couzens Will Outline Plan for 

140 Miles of New Line to Cost 

$15,000,000 

Shortly before Christmas Mayor 
Couzens of Detroit, Mich., announced 
that he had practically perfected plans 
for a railway system in Detroit inde- 
pendent of the Detroit United Railway. 
The plan which Mayor Couzens is ex- 
pected to present to the City Council 
very soon, although not made public, 
is understood to include a railway com- 
prising about 140 miles of trackage to 
cover every section of the city and run 
over the boundary lines of the. city in 
some places. 

Crosstown Line Planned 

In speaking in favor of his plan the 
Mayor stated that with the aid of his 
advisors, including a well-known New 
York traction expert, he is endeavoring 
to make the proposed system as "fool 
proof" as possible. He is determined to 
give the best kind of service as to cars 
and as to streets as well by means of a 
plan that will not be assailable by the 
supporters of other plans. 

Although the plan does not include 
dealings with the Detroit United Rail- 
way, it is believed that the city would 
not be adverse to an interchange agree- 
ment if the railway company wished it, 
after the Mayor's plan was fully 
worked out. 

Included in the proposed system it 
is believed there will be a line crossing 
Woodward Avenue independent of the 
Detroit United Railway's existing cross- 
town lines, a line to enter or skirt the 
village of Hamtramck and a line on 
Clark Avenue to tap the Fort Street 
line. This latter line would permit the 
city to take advantage of the Supreme 
Court decision of several years standing 
which gives the city the right to oust 
the Detroit United Railway from Fort 
Street. 

Ordinance to Be Presented Soon 

The plan will be presented by the 
Mayor in the form of an ordinance 
which it is expected will soon be pre- 
pared by the Corporation Counsel's 
office. 

The Street Railway Commission, 
the members of which resigned when 
the Mayor rejected their proposed Tay- 
lor, or service-at-cost plan, will not be 
replaced at present. The Mayor will 
act as his own street railway commis- 
sion and will consult transportation 
experts in working out his plan. 

Elsewhere in this issue mention is 
made of the improvement program 
that was announced recently by the 
officers of the Detroit United Railway. 



January 3, 1920 



Electric Railway Journal 



67 



Commission Sees Clearly Electric Railway Needs 

New and Changed Relations Necessary Between Railways and the 
People — Auto an Element 

Declaring- that the regulation of a total of thirty-four with nearly 2,000 

1 ,. J.-1-J-- i- J u J.-L. miles of road and more than 3,000 miles of 

public utilities as practised by the track. 

State Eailroad Commission of Call- There are now pending before the Rail- 

j. - J . .. ii J, j.1. J. J road Commission formal applications ask- 

fornia during times that threatened ing- relief from some of the largest elec- 

public welfare from many angles has trie railways. Fares have already been 

;■ .1.-J jiij.-j.i_T J? mcreased on the San Francisco-Oakland 

been sustained and that it believes ±ur- Terminal Railways, the Oakland, Antioch & 

ther proof of the soundness of the Eastern Railway, Stockton Electric Com- 

,. j; j.1. • • -11 i_ pany, Humboldt Traction Company of 

practices of the commission will be Eureka, San Jose Railroads, Union Trac- 

found with the return of normal con- tion Company of Santa Cruz, Fresno Trac- 

,.,. ,, . ■ T\ n ■ tion Company and the electrically operated 

dltions, the commission on Dec. S, m a transbay service of the Southern Pacific 

letter to Governor William D. Steph- Company (the last named is under !fed- 

., 1 J ■ J.1 eral control). During the year a readjust- 

ens, reviews its work during the year ment of interurban fares on the Pacific 

ended June 30, 1919. The letter, which Electric Railway was authorized, thus pro- 

. -J. J.1 1 J. J? j.1. ducing considerable additional revenue, 

transmits the annual report of the com- These increases, however, were more than 

mission to the Governor, points out as offset by increased operating expenses. 

among the most important acts of the g^j^ dj^go Sets a Precedent 

commission its intervention in tke Key . , , , . . ,,,,,,, 

Route strike, settlement of the Los An- ^dded importance is attached by the 

geles power controversy, and its San commission to the San Diego Electric 

Diego railway decision. Railway investigation and decision. In 

that case the commission laid down a 

Many Appeals for Increased Rates number of new principles and rules 

The predicament of the State's util- for the conduct and regulation of elec- 

ities, due to the constantly changing trie railways in the State. For the 

operating conditions, was reflected first time the commission departed 

principally in applications to the com- from the one-fare rule and adopted the 

mission for authority to increase rates, zone system of fares within the limits 

the petitions in every case setting up of a municipality. The following is 

the claim that increased labor costs from the commission's letter: 

and higher material prices had de- For more than a year the commission 

stroyed the margin between financial carried on an investigation into the raii- 

j .,, i_.i-. , J. ,- way situation in San Diego, the inquiry 

soundness, with ability to function following an application by the San Diego 

properly, and profitless operation; be- Electric Railway and the Point Loma Rall- 

f_ Ji ■ 1. ■ J.J.1 i_i- J road for financial relief and permission to 

tween efficient service to the public and abandon a number of its lines. The ex- 

service hampered by income insufficient haustive investigation revealed a depl9r- 

. J. J. J.! ■ ■ J a^ble financial and operating condition, with 

to meet constantly increasing de- a steadily increasing loss to the owners of 

mands for service. The petitions for the road and a corresponding reduction in 

, . , , , , „ the efficiency of service. A larger income 

higher rates covered every class of had to be provided or inevitably service 

Utility. Of their actions on the peti- oyer practically the entire systern in San 

,. ., . . Diego abandoned in the near future. 
tions the commissioners say: 

^y>^ „^^^i^c; f A -4. ^ Creation of the zone system of fares, 

The commission found it necessary to i 
grant many increases because of the show- a direct order to the company compel- 
ing made by the utilities, which was care- k„o- rpVinbilitntinn nf it<s <?v<5tpm rp- 
fully checked, and from investigations ""^ renaoilltation 01 Its system, re- 
made by the commission's staff. As a mat- fusal to allow the company to abandon 
ter of fact, the need for increased income ;*„ Hnpo nriH rpfnmmpnflatir>n<5 fhaf tVip 
for the utilities to enable them to func- "^ ""^^' ^"" recommenaations mat tne 
tion to the highest point of efficiency was city change its paving requirements are 
obvious. "We believe that on the whole the Inrirlpntt! in tViP o-pnpral Tilan pvnlvpH hv 
commission's rate decisions have been re- mcioents m tne general plan evoivea oy 
ceived by the public as necessary acts of the commission, 
fair dealing on the part of the commis- 
sion — acts fair alike to the consumer and AUTO VS. STREET CAR 
the utility. 

r\ J! it. I.- 1.1 J. • ^1 On the general railway situation 

One of the big problems facing the throughout the State the commission 
commission, the Governor is informed, 
is the electric railway situation, the 

unsettled condition's in thp pIpp+tHp fran ^ thorough investigation has been under 

unsettiea conaitions in tne eiectnc trac- .^^ay during the past year and it has become 

tion service field and the necessity of clear that there is no uniform remedy that 

considerinp- Tnpa<?nrp<! fnr nnoclhip °^" ^^ applied to the electric railway diffi- 

consiaenng measures lor possible culties in this State. Each property will 

financial relief and improvements in have to be considered on its merits, 

service being matters that are daily be- ^elv^itr '''^l^\T%e^lJ'''^^^:..^^lu^S.fst 

coming more pressing. In pointing out than any other industry for the reason that 

the difficulties of the plpctrip rnilwnv^ ^°^ electric railways the standard fare has 

tne aimcuities oi tne eiectnc railways, y^ggn the nickel. Not only have franchise 

the commission says: provisions fixed on this unit, but the 5 -cent 

fare has become an institution for Ameri- 

The following figures will indicate in a can cities. 

graphic manner the gravity of the situa- The electric railways have met in the 

tion, the figures showing the collective recent past a most formidable and deter- 

financial result of electric railways in this mined competitor — the automobile. Both 

.State making operative reports to the com- the private automobile and the jitney have 

mission : made enormous inroads on the passenger 

Gross Income . $37 202 685 traffic that was formerly dependent upon 

Operating expenses $27,897,137 ' electric railways. The automobile truck 

Other deductions.. 1,151,443 29,048 580 '^ an even more serious competitor in the 

freight traffic field, for the electric Interur- 

Net revenue .. $8154105 ''^n railways almost without exception are 

Taxes $1979 190 ' ' depending for their freight revenue on 

Interest".'.'.'.'.'.'.'.'.'.' 8!955!586 $10,934,776 short-haul business. And yet it is clear 
that both the passenger automobile and 

Net deficit $2 780 671 the freight auto truck as competitors of 

' the steam and the electric railways are 

This deficit is the combined losses of even now only in the first stages of their 

twenty roads and profits of fourteen roads, development. 



.Electric railway utilities find it more and 
more difficult to obtain necessary new cap- 
ital, and for many companies the only es- 
cape from financial collapse is through 
drastic reorganization. 

The commission declares that the 
only permanent and effective remedy 
for this unhealthy situation will be 
found through the creation of new and 
changed relations between these prop- 
erties and the people as represented by 
the municipality and other authorities. 
In this connection the commission says: 

We do not believe that obstacles should 
be thrown in the way of the economic evo- 
lution we are now witnessing in the trans- 
portation field. And if the motor vehicle 
can give better and more efficient service 
at a lower cost than other forms of trans- 
portation, it would be unwise and indeed, 
in the long run, ineffective, to interfere 
with such a development. 

We are by no means convinced, however, 
that the day has come when the communi- 
ties can dispense with their electric street 
and interurban railway systems, and other 
agencies, in our opinion, are not as yet 
in a position to take the place of these 
utilities. 

On this subject the commission says 
further : 

It seems to us that the relations between 
these roads and the public must first be 
changed through a remaking or modifica- 
tion of franchise provisions. The people 
apparently do not appreciate that matters 
stood differently in the past when certain 
franchise provisions were first established. 
Then street railway operation was consid- 
ered a speculative and highly profitable 
business. There is no doubt that during 
the last half dozen years or more the 
speculative element has been entirely elim- 
inated from street railway profits. 

An indiscriminate raise in fares is not 
a remedy for the street railway situation. 
After fares are raised beyond a certain 
point the street railway is permanently 
the loser. One plan which might be looked 
upon with favor lies in a partnership be- 
tween the communities and the company 
until such time as the communities see fit 
themselves to render electric railway serv- 
ice. The machinery to bring about such 
changed relations may take different forms. 
Recently the resettlement franchise has 
been chosen in several instances. 



I. C. C. Member Urges 
Electrification 

Electrification of steam railroads, 
forced by the search for cheap power, 
is predicted by Robert N. Woolley, of 
the Interstate Commerce Commission, 
as the next step that must be taken 
in the transportation world. Mr. Wool- 
ley in an interview said that this could 
be done by converting bituminous coal 
into coke at the pit heads of the mines 
and the use of the coke as fuel in gi- 
gantic electrical stations. He is quoted 
as follows: 

It is generally conceded that the elec- 
trification of steam railroads must come in 
the not distant future. The super-power 
plant would make electrification possible 
at an earlier date. It would increase traffic 
capacity from 25 to 50 per cent, would in- 
crease speed in transportation and would 
practically eliminate railroad congestion, 
particularly during the winter season. 

The advantages to be secured through 
the electrification of the roads are many. 
An electric locomotive will handle tw^ice the 
load of a steam locomotive. It operates 
best in cold weather when a steam locomo- 
tive has its greatest troubles. On down 
grades what is known as regenerative brak- 
ing returns from 25 to 50 per cent of the 
power used in climbing. An electric loco- 
motive can be operated over a 1.000-mile 
run with only casual insiieetion. 

Electrification is the cheapest and most 
practical method of producing an increase 
in traffic capacity. This could be accom- 
plished by additional tracks or by the 
elimination or reduction of grades, but tlie 
entire cost of electrification, including 
power stations and transportation lines, is 
less than the cost of either. 



68 



Electric Railway Journal 



Vol. 55, No. 1 



Many Toledo Sessions 

Franchise Settlement Commission Fast 

Working Out Its Plans — Immediate 

Municipal Ownership Impossible 

Following the session on Dec. 22 of 
the municipal-ownership division of the 
commission which is charged by the 
court with developing franchise settle- 
ment ordinances for Toledo, Ohio, it 
was announced that that division had 
abandoned hope of providing for the 
immediate purchase of the railway 
property of the Toledo Railways & 
Light Company. By unanimous vote it 
was decided that rather than report 
back that nothing could be accomplished 
now, the commission would precede 
along the general lines upon which the 
service-at-cost branch was working. 
The ordinance of the service-at-cost 
division will provide that a fund shall 
be created for the purchase of the rail- 
way but that the accumulation of the 
fund shall not be begun for ten years. 
H. L. Doherty, operating head of the 
company, made his first appearance be- 
fore either branch of the commission 
at the session of Dec. 26. He asked 
Henry W. Ashley, chairman of the 
municipal-ownership division, if he 
wished to see him, but Mr. Ashley 
replied that the members of the com- 
mission had nothing to take up with 
Mr. Doherty at the time. 

Mr. Doherty then addressed the serv- 
ice-at-cost division of the commission. 
He told the members that he was appre- 
hensive of three features of the pro- 
posed service-at-cost franchise grant. 
The points he mentioned were the valu- 
ation of the railway property, the 
maximum fare which will be allowed 
if any fare limit is fixed and the rate 
of return the company will be allowed 
to receive on its investment. The 
chairman of the service-at-cost division 
explained that what had been done by 
the division was only tentative. The 
object of the commission was to prepare 
sound ordinances with the Cleveland 
plan as a basis. Mr Doherty said it 
seemed to him that whenever anything 
was found in the Cleveland plan favor- 
able to the company the tendency at 
Toledo was to change it. 

On the same day, namely, Dec. 26, 
the municipal-ownership division of the 
commission devoted its session largely 
to a consideration of the provisions of 
the service-at-cost ordinance. Law 
Director Martin explained just how it 
will be possible for the municipal- 
ownership division to adopt for its own 
purposes the ordinance as drawn by the 
service-at-cost section of the commis- 
sion, changing it only by providing for 
the addition of 1 cent or a fraction 
of 1 cent to each fare to create a fund 
to make the initial payment on the 
property and to acquire title within a 
few years. Mr. .Martin told the com- 
mission that he knew of no way under 
the present laws in which the city could 
obtain at once the money to make the 
initial payment for the property. Al- 
though the municipal-ownership section 
of the commission is considering the 
adoption of the terms of the service-at- 



cost plan with modifications, it is 
understood that section of the commis- 
sion will defer acting upon it for the 
present pending the possibility of the 
passage of the Legislature of the Brach 
bill to authorize cities to extend their 
general credit for buying electric rail- 
way properties. 

The session on Dec. 27 of the service- 
at-cost section of the commission was 
a very important one from the stand- 
point of the subjects covered, but it 
did result in considerable differences 
of the opinion between the commis- 
sioners and the representatives of the 
company. The service-at-cost members 
voted unanimously to establish a maxi- 
mum fare of 7 cents with a 1-cent 
charge for transfers. They did this 
over the protest of Mr. Doherty. This 
supersedes the commission's former de- 
cision for a 6 and 1 maximum fare. 
The commissioners expressed the belief 
that it was unlikely the actual maxi- 
mum rate would ever be required to 
be put into effect. Mr. Doherty said 
that if a maximum fare was provided 
for, the company would have to insist 
that control of the service should pass 
to the company when the maximum 
fare was in effect. He was not in favor 
of a maximum fare. True service-at- 
cost should be service-at-cost. Mr. 
Doherty urged that the section of the 
Toledo plan covering the terms of pur- 
chase by the city should provide for a 
call price of $110 a share for the stock 
of the company throughout the life of 
the grant. 



Fast Through Service 
Established 

The formal opening on Dec. 17 of 
the through service over the line of the 
Wheeling Traction between Wheeling, 
W. Va., and Steubenville, Ohio, was 
made a most interesting occasion. 
About sixty Wheeling business men re- 
sponded to the invitation of C. P. 
Billings, manager of the Wheeling 
Traction Company, to inspect the line. 
The first stop was made at the new 
power plant of the Wheeling Electric 
Company, located at Beach Bottom. 
By special arrangement with the man- 
ager of the plant the entire party was 
given the opportunity to inspect this 
station from which power is now being 
transmitted as far north and west as 
Akron, Ohio. 

At Steubenville the party was the 
guest of the Steubenville business men 
at luncheon. 

The new special service which the 
traction company is inaugurating be- 
tween Wheeling and Steubenville gives 
a through car from Wheeling to Steu- 
benville every half hour. It is the 
hope of Manager Billings that this 
service can be reduced from one hour 
and thirty minutes to one hour and five 
minutes. Most of the road between 
Warwood and Steubenville is single 
track, and in order to give fast through 
service additional sidings will be 
provided. 

In this connection Manager Billings 
states that the company is planning to 



erect a package warehouse at some 
central point in Wheeling. 

An announcement in this direction is 
expected soon. This station will be 
used for the receipt and distribution 
of freight packages sent by shippers 
from Wheeling to suburban towns. A 
part of this plan also contemplates the 
putting on of regular baggage cars to 
be used at certain hours of the day. 



Changes Proposed in New Jersey 
Commission 

Charges of neglect and misconduct in 
office brought against the Board of 
Public Utility Commissioners of New 
Jersey by officials of Montclair were 
dismissed on Dec. 31 by Governor W. 
N. Runyon. The charges were submitted 
to the Governor after commissioners 
had granted the request of the Public 
Service Railway to establish a zone 
fare system. The Montclair officials 
demanded that the commission be 
ousted from office. 

The chief grievance against the 
board was based upon the alleged fact 
that the zone fare system was inau- 
gurated without a complete prior val- 
uation of the company's assets and 
liabilities having been made. 

The Governor's statement says that ' 
the board's duty was to evolve a scheme 
which should meet the running expenses 
of the utility company during emer- 
gency times, and that this the board 
did after long consultations with 
experts, and voluminous testimony. 

The question of whether or not the 

board's judgment was bad does not 

enter, the statement says, and since no 

evidence of wrongdoing was found the 

charges were held without foundation. 

The Governor said: 

While I am thus constrained to dismiss 
the charges against the commissioners I 
do not hesitate to reaffirm my opinion that 
the public has lost confidence in this 
commission, and I hereby state that, as a 
member of the State Senate, at the coming 
session of the Legislature, I shall introduce 
a bill abolishing the existing commission 
of five men and substituting a new com- 
mission of three. 




Muscatine Grant Modified. — The peo- 
ple of Muscatine, la., by a vote of 1933 
to 530 have decided to amend the fran- 
chise of the Clinton, Davenport & Mus- 
catine Railway. About 50 per cent of 
the normal vote was cast. The amend- 
ed franchise provides for a 4-cent fare 
from 5 until 8 o'clock in the morning 
and from 5 to 7 in the evening, with a 
straight 7-cent fare the remainder of 
the day. To take advantage of the 4- 
cent fare the passenger must buy a 
book of seventy-five tickets for $3. 

$15,000,000 for Boston "L" to Spend. 
— ^The enactment of the Cambridge 



January 3, 1920 



Electric Railway Journal 



69 



Subway bill into law provides the Bos- 
ton (Mass.) Elevated Railway with 
$8,000,000, which together with an ad- 
ditional $7,000,000 will place at the dis- 
posal of the board of trustees a total 
of $15,000,000 which it is planned to 
spend on a five-year improvement pro- 
gram providing for the development of 
rolling stock, the rehabilitation and 
general improvement of the power di- 
vision, changes in repair shops and ad- 
ditional track construction. 

Power Employees Get Increase. — An 

increase of 13 per cent in the pay of 
power house and substation men, elec- 
trical workers and others engaged in 
the generation and distribution of elec- 
tric light and power has been an- 
nounced by W. E. Coman, general man- 
ager of the Washington Water Power 
Company, Spokane. The raise affects 
approximately 200 men and took ef- 
fect on Dec. 1, adding $40,000 a year 
to the company's payrolls. This is the 
second increase this year, the first hav- 
ing been granted last June. The in- 
crease was granted because of the ab- 
normal cost of living. 

Want Service in "The Flats" at 
Cleveland. — Fielder Sanders, Street 
Railway Commissioner, has prepared 
a resolution which will grant the 
Cleveland (Ohio) Railway a franchise 
to lay tracks on West Third Street 
from Scranton Road to Broadway and 
thence to Broadway and East Thirty- 
fourth Street. This would give serv- 
ice to about 10,000 people who work 
in "the flats," a district occupied by 
lumber yards, factories, mills and fur- 
naces. Company ofBcials say that the 
initial outlay for such a line would be 
about $200,000. The line could be so 
arranged as to make connection with 
downtown cars when the station on the 
square is completed. 

Men in Pittsburgh Record Sentiment 
in Vote. — The first reliable test of sen- 
timent among the platform employees 
of the Pittsburgh (Pa.) Railways, who 
went on strike last summer in opposi- 
tion to the directions of their interna- 
tional officers, came in the election in 
the third week of December when the 
men re-elected those of their local lead- 
ers who led them in the strike and who 
finally induced them to return to work. 
The settlement of the strike was op- 
posed by the men because of the terms 
incident to it, but P. J. Ward, business 
agent of Division No. 5, Amalga- 
mated Association, was returned to of- 
fice with his entire slate, in the election. 
All offices were contested. Mr. Ward 
had three opponents. 

May Develop Bayonne Peninsula. — 

The Public Service Railway, Newark, 
N. J., has considered the advisability of 
building a "high-speed" line, either ele- 
vated or subway, from Port Richmond, 
through the Bayonne peninsula and 
Hudson County, to New York City. 
Richard E. Danforth, vice-president and 
general manager of the company, re- 
vealed this plan in testifying before the 
Public Utility Commission in the zone 
hearing recently, on the "usefulness" of 



the abandoned "Old Dummy Road" 
right-of-way in Bayonne. Mr. Dan- 
forth explained that such a line would 
build up the Bayonne peninsula, which 
is 5 miles long and 1 mile wide. He is 
quoted as saying that he would like to 
see the project started within five years 
and built through to the Hudson River. 

Extension Favored. — A resolution in- 
dorsing the extension of the Cincinnati, 
Lawrenceburg & Aurora Traction Com- 
pany's line from Anderson's Ferry to 
the Dixie Terminal and the Rapid 
Transit Loop was adopted at a meeting 
of the public utilities committees of 
the Chamber of Commerce, City Club 
and Business Men's Club held at the 
Chamber of Commerce in Cincinnati. 
The resolution when fully expanded will 
provide that the Rapid Transit Com- 
mission finance the project. The cost 
will be more than $1,000,000. It was 
said that the revenues derived from the 
road and a sinking fund will pay for 
the construction work in forty years. 
The resolution adopted will be sub- 
mitted to the boards of directors of the 
three organizations for final approval. 

Strike Rids Los Angeles System of 
Radicals. — When the strike on the Los 
Angeles (Cal.) Railway Corporation's 
system was over early this fall there 
was no "reinstatement" of employees. 
Service was being maintained and the 
company selected only those desired 
from among former employees who ap- 
plied. The name of each former em- 
ployee who desired to re-enter the 
service was posted in the carhouse out 
of which he had previously worked. 
Over the list was an invitation for any 
employee to make knovim to the man- 
agement reasons why any applicant 
listed should not be employed. The 
platform men who desired to work in 
peace and quiet free from the labor 
agitator, wei-e quick to aid the manage- 
ment in keeping out those who had 
made trouble before. The final result 
of the strike, therefore, has been the 
entire elimination of the radicals. 

Proposed Extension of Boston Ele- 
vated. — Plans for the extension of the 
Boston (Mass.) Elevated Railway by 
utilization of tracks of the New York, 
New Haven & Hartford Railroad were 
considered by representatives of the 
Boston Elevated Railway, the New 
York, New Haven & Hartford Railroad 
and the Massachusetts Public Service 
Commission at a meeting held in Boston 
on Dec. 19. The project as discussed 
provides for the use of the tracks of the 
Midland Division of the New York, 
New Haven & Hartford Railroad from 
a point near Andrews Square, Dor- 
chester, to the Dorchester Terminus, 
returning from that point over the 
tracks of the Shawmut Division of the 
New Haven Railroad. Details of this 
scheme are under consideration and a 
public meeting on the proposition will 
be held by the Massachusetts Public 
Service Commission on Dec. 29, 1919. 

Buses in St. Louis. — Trials and ex- 
hibition trips of the two double-deck 
motorbuses which have been received 



by the Missouri Motorbus Company 
have been completed and promoters of 
the company have announced that serv- 
ice on an east and west through route 
in St. Louis would begin during the 
week ended Jan. 3. J. Lucas Turner, 
general manager of the company, said 
that all the buses necessary for com- 
plete service on the line would be on 
hand by Feb. 1. The buses are of the 
same pattern as those used on Lake 
Shore Drive in Chicago. Conditions for 
the operation of motorbus lines are still 
somewhat uncertain as the Board of 
Aldermen has not acted on the pending 
ordinance on the subject. The pro- 
moters of the bus company contend that 
pending the enactment of an ordinance, 
they can run subject to the general 
traffic regulations, inasmuch as they 
claim no special privilege. 

Nine-Hour Day in Brooklyn. — The 
Brooklyn (N. Y.) Rapid Transit System 
on Dec. 22 put into effect the first of its 
nine-hour schedules on its surface lines, 
as agreed in the settlement of the recent 
strike. The Halsey Street carhouse was 
chosen for the readjustment. Under 
the agreement 50 per cent of the runs 
are to be completed in eleven hours, 40 
per cent within thirteen hours and the 
remaining 10 per cent within fourteen 
hours. Company officials said the 
change from a ten to a nine-hour basic 
day would necessitate a 10 per cent in- 
crease in the number of car crews. 
About fifty days are left to work out 
similar new schedules for the remainder 
of the routes. The new rule of senior- 
ity, by which employees are paid the 
maximum rate of 62 cents an hour after 
three years instead of ten, as hereto- 
fore, also is in effect for the first time. 
The guards and conductors on the ele- 
vated now reach their maximum rate of 
pay after eighteen months. 



Program of Meeting ' 

New England Street Railway Club 

The meeting of the New England 
Streot Railway Club at the Hotel 
Somerset, Boston, Mass., on Jan. 15 will 
be manufacturers' night. Ordinarily 
nothing more need be added to that 
bald announcement, but the committee 
has felt constrained to describe the 
entertainment which has been arranged 
as "a super production of scintillating 
and musical talent, a deluge of fun, to 
delight and entertain everyone, irre- 
spective of age, creed or race." All this 
is introduced with a half-tone of five 
young women, who bring to mind all 
that has been said recently about 
"Aphrodite." "Pep and Speed" are 
promised "all for the price of $3.50 for 
members and guests." Checks should 
be sent to John W. Belling, P. O. Box 
2564, Boston, Mass. 

In a separate statement to the mem- 
bers it is explained that the seeretarsr 
will, on Jan. 1, vacate his headquarters 
at 12 Pearl Street, Boston, in the in- 
terest of economy and for the good of 
the club until such time as the club's 
finances permit establishing more de- 
sirable quarters. 



70 



Electric Railway Journal 



Vol. 55, No. I 



Financial and Corporate 



Experts Again Disagree 

Millions Apart on Memphis Street Rail- 
way Appraisal, Involving in All 
j. " Less Than $15,000,000 

The three engineers who have com- 
pleted their appraisal of the physical 
properties of the Memphis (Tenn.) 
:Street Railway agree upon a valuation, 
based upon the original cost price, of 
$9,306,012. That valuation includes, 
besides the actual value of the tangible 
property, an allowance for overhead 
•cost, working capital and the cost of 
financing during construction. 

"Report Presented to Commission 

Ross W. Harris, the expert employed 
to represent the City of Memphis, in a 
lengthy supplemental report, places 
the physical valuation at $7,900,000. 

Albert S. Richey, representing the 
Public Utilities Commission, adds to the 
valuation above $785,579 development 
cost and $1,920,544 as the value of su- 
perseded property, which the company 
originally paid for but which is now 
worn out or not in use. This brings 
his total valuation up to $12,024,165. 

J. H. Perkins, representing the rail- 
way, places the total valuation at 
$13,158,516. He arrives at that value 
by adding to the physical valuation 
agreed upon by all three experts a 
larger sum for superseded property 
and development cost. 

Mr. Harris admits that if superseded 
property is to be considered the 
company can honestly show expendi- 
tures through the past seventeen years 
of $1,264,183 for material and equip- 
ment not now in use. That added to 
his original investment figures would 
make a possible maximum valuation of 
$10,570,225. 

The report of the engineers has been 
placed in the hands of the commission 
and it is supposed that it will order a 
reopening of the hearing, based upon 
the findings of the appraisers, some 
time early in the year. 

The appraisers did not go into fran- 
chise values or the financial affairs of 
the company in any way, basing their 
report solely upon the present physical 
valuation of the entire plant at the 
present cost to reproduce it. The real 
estate holdings of the company were, 
however, figured at the original cost. 

Appraisal Follovsted Fare Request 
The physical valuation upon which 
the company is permitted to make a 
reasonable return will be fixed by the 
decision of the commission from the re- 
port of the appraisers. 

The appraisal at Memphis grew out 
of the request of the company for an 
increase in fares to 6 cents. This re- 
quest was allowed by the State Com- 



mission on June 13 in accordance with 
terms noted in the Electric Railway 
Journal for June 21, page 1247. At 
that time the commission ordered an 
examination of the value of the rail- 
way property by experts, one to be ap- 
pointed by the commission, and one by 
the receivers, with the right reserved 
by the city to appoint an engineer in 
its own interest. 

From the information so far to hand 
the company has not announced its fu- 
ture course of action, but the city, 
through its counsel has publicly stated 
that it believes the emergency neces- 
sitating an increase in fare has passed 
and that in any event it will oppose 
allowance for some of the items in the 
appraisal which have been included 
under "going value." 

The latest investment manuals show 
that the Memphis Street Railway has 
outstanding $2,500,000 of 6 per cent 
preferred stock, $2,500,000 of common 
stock, $8,324,000 of consolidated mort- 
gage 5 per cent bonds, $1,250,000 of 
collateral trust 6 per cent notes and 
$250,000 of unsecured 6 per cent 
notes, making its total capital liabili- 
ties $14,824,000, or just about twice 
the "bare bones" value as found by the 
engineer for the city. 



Receiver for Savannah Electric 
Company 

Howard C. Foss, Savannah, Ga., dis- 
trict manager of Stone & Webster, has 
been appointed receiver for the Sav- 
annah Electric Company on the appli- 
cation of the General Electric Com- 
pany, holder of an unsecured claim of 
$3,807 for electrical equipment and sup- 
plies. It was stated that the com- 
pany is unable to pay its indebtedness 
or to pay interest on its bonds due on 
Jan. 1, or to borrow additional money 
necessary for extensions and improve- 
ments. 

A committee of the holders of securi- 
ties of the compnay has been formed 
for protective purposes. On this com- 
mittee are Charles Francis Adams, 
Stedman Buttrick and George C. Lee, 
with Elbert A. Harvey as secretary. 
This committee invites the holders of 
the first consolidated mortgage bonds 
dated Jan. 1, 1902, to deposit their 
bonds on or before March 1, 1920, with 
the Commonwealth Trust Company, 
Boston, depository, which according to 
usual custom will issue transferable 
certificates for all bonds deposited. In 
calling for the deposit of these securi- 
ties, it is pointed out that the bonds 
should be accompanied by the Jan. 1, 
1920, and subsequent coupons. Regis- 
tered bonds should be accompanied by 
a properly executed transfer thereof 
in blank. 



Application to Foreclose 

Shore Line Leases Broken and AppKea- 

tion Made to Foreclose 

Connecticnt Line 

The affairs of the Shore Line Elec- 
tric Railway, Norvtdch, Conn., under 
the receiver, appear to be moving fast 
toward a climax. Abandonmerrt of 
lines has been referred to previously 
in the Electric Railway Journal. 
Now comes the turning back to the Con- 
necticut Company, New Haven, Conn., 
of lines operated under lease from that 
company and the application by the Old 
Colony Trust Company, Boston, Mass., 
for an order to allow it to foreclose a 
mortgage made by the Shore Line in 
1916 to secure $2,725,000* of bonds. 

In his application to the coart for the 
termination of the lease made with the' 
Connecticut Company the receiver of 
the Shore Line represerefied: 

1. That the Shore Line Electric Railway- 
entered into a lease with the Connecticoit 
Company, under date of July 7,. 19ia, foy 
the terms of which lease the Shore Line 
Electric Railway was entitled to tlie pos- 
session for the period of ninety-nine yeaars 
from the first day of May, 1913, of certain 
electric railways belonging to the Con- 
necticut Company, extending from the towji 
of New London to South Coventry, in the' 
town of Coventry ; a railway extendiiig: 
from Moosup in the town of Plainfleld tO' 
the village of East Killingly ; the apparatTis 
connected with said electric railways and 
certain railway stock and equipment used; 
in connection therewith ; certain rights to 
operate cars over the railroad of the New- 
York, New Haven & Hartford Railroad 
between Taft's, so-called, in the town of 
Norwich, and Central Village, so-called, in 
the town of Plainfleld, and certain papers 
and documents showing the nature of said 
right conveyed. 

2. That the Shore Line Electric Railway 
took possession of said property and as 
said lessee has operated said electric rail- 
way lines described in said lease. 

3. That your receiver has operated said 
leased lines since Oct. 1, 1919, the day of 
his appointment as temporary receiver of 
the Shore Line Electric Railway, and the 
result of said operation shows a net loss 
of operating expenses o^er and above oper- 
ating revenue. 

4. That your receiver has determined it 
is not for the interest of the receivership 
estate to adopt said lease and has given 
notice to that effect to the Connecticut 
Company. 

The receiver consequently made ap- 
plication to this court for an order: 

1. Approving his action in electing not 
to adopt said lease. 

2. Authorizing him to enter into an agree- 
ment for the termination and cancellation 
of said lease. 

Divested of the lines mentioned the 
receiver will be left to operate only 
the Norwich & Westerly line, the Gro- 
ton & Stonington line, the Westerly & 
Atlantic Beach line and the lines west- 
erly from New London towards New 
Haven. 

Before Judge Warner and before the 
Public Utilities Commission the re- 
ceiver recently stated that there were 
outstanding $300,000 of preferred stock, 
$700,000 of common stock, $3,200,000 
of bonds, $1,000,000 of Class A deben- 
tures and $2,500,000 of Class B de- 
bentures. The Morton F. Plant Estate, 
he said, owns all of the bonds, all of 
the preferred stock except $2,200, all 
of the common stock except $9,800 and 
all of the debentures except $35,000. 

The reports of the receiver showed 
that the lines in operation were run 
at a loss of $21,850 in October and 
$3,751 in November. 



January 3, 1920 



Electric Railway Journal 



71 



Qeveland Railway Arbitration Findings 

Substance Presented of Two Reports in Recent Dividend Case 
Increasing Return to 7 Per Cent 



On July 18 the City Council of 
Cleveland, Ohio, by appropriate reso- 
lutions proposed to arbitrate with the 
Cleveland Railway the question 
whether the dividend rate upon the 
capital stock of the company should 
be increased from 6 to 7 per cent, the 
arbitration to be conducted in the man- 
ner described in the Tayler service-at- 
£0st franchise. 

Arbitration Under Franchise 
Ordinance 

Arbitrators were chosen as provided 
in the ordinance, hearings were begun 
on Sept. 15, and subsequently seventeen 
public sessions were had at which tes- 
timony was offered and arguments of 
counsel submitted. Briefs were then 
filed by counsel and the board gave con- 
sideration to the matter in conference. 

Both parties requested the board, in 
addition to the award on the single is- 
sue presented, to make such findings 
of fact and make such recommenda- 
tions as to railway conditions in Cleve- 
land as, in their opinion, were justified 
by the evidence submitted. 

As explained very briefly in the 
Electric Railway Journal for Dec. 
20, page 1018, the decision by the ma- 
jority was to increase the return to 
the company to 7 per cent. The arbi- 
trators were City Light Commissioner 
W. E. Davis, representing the city; 
Joseph R. Nutt, president of the Citi- 
zens Savings & Trust Company, ap- 
j)ointed by the railway, and Attorney 
A. A. Stearns, named by United States 
District Judge D. C. Westenhaver as 
the third member or umpire. All three 
members signed the report making rec- 
ommendations to stabilize the stock 
value of the Cleveland Railway, but 
only Mr. Nutt and Mr. Stearns signed 
the decision increasing the dividend 
rate. 

Essentials of Report Reviewed 
The report signed by all three mem- 
bers follows in full except for the intro- 
duction : 

Y^' .^^'^ r^^^^°^^ disagreement: 

™ \ zi}^ Tayler franchise and the amenri 

o/1w,^.''f "^1° ^'^^^ ^^<^» shown by ten™s 

°n oDtrat?on %?:?l''".^f '" Principle, practica! 
„, "Peraiion and of great benpfif tr. tv,^ 

S^Thl^"n^, ^^''^^/ and^ttltockholders and 

Railwav"^ frJfr;, ^^ ^^^ ^^P* th^ Clevelind 
itailway from exposure to the dangers 
and misfortunes that have overtaken th| 
railway properties in most other large cities 
The protective features of the f ranch II' 
ird of^r^nw^ *^^ exceptionally high standi 
ard of railway management and intelligent 
municipal supervision which the Cleveland 
Railway has had, have resulted in giving to 
«t ^yow."i ^K ^%^* ^^'•^^t railway^ service! 
Itate^ ^"^ "*^ '" *^« United 

. 2. The stock of the Cleveland Railway 
is so protected by the provisions of the 
franchise that the investment ought to be 
ranked with municipal securities. The pro- 
tective features referred to are 

. fa) — The valuation fixed upon the phy- 
sical property at the time the franchise was 
pas.sed was conservative, and, unquestion- 
ably, by subsequent improvements and bet- 
terments and liberal expenditures for up- 
keep, the property has greatly increased 
in value. 

(b) — The provisions for increase of fare 
insure payment of interest, except po.ssibly 
under stress of war conditions, and the 



readiness of the parties to meet the extra- 
ordinary conditions by agreement as to in- 
crease of maximum rate of fare has here- 
tofore provided for interest requirements. 

(c) — The provisions for arbitration of 
disputed questions prevent either party to 
the compact from exercising unreasonable 
power affecting the rights of the public or 
the parties. This privilege of arbitration, 
safeguards all interests involved and 
strengthens the security of the investment. 

(d) — The semi-public control prevents all 
exploitation of the property by those in con- 
trol of the stock. 

(e) — The city cannot avail itself of the 
provisions of the franchise or the law of 
the State to bring about municipal owner- 
ship except by redeeming the stock at 110. 

(f) — The city may renew the franchise 
by exercising the power reserved in the 
grant, and the extreme improbability that 
the city will ever fail to renew the fran- 
chise and permit the property to revert to 
the company makes the grant practically 
a perpetual one. The failure to renew 
would turn back the property to the com- 
pany for the last fifteen years of the term 
with the privilege of charging the maxi- 
mum rate of fare and the privilege of re- 
ducing the service without check from pub- 
lic authority. It is unreasonable to assume 
that public opinion, to which the city must 
always respond, would permit such a course 
of action. The city renewed the franchise 
in May. 1919. which was the first time the 
emergency has been presented since the 
grant has been in force. So long as the 
company continues to give good service and 
at a ■ lower cost to the car rider than any 
other city, no political administration will 
face the criticism of the public resulting 
from the failure to renew the franchise 
when such failure increases the fare and 
reduces the service. This apparently self- 
evident fact adds to the security of the in- 
vestment. 

Stock a Safe Investment 
(g) — If it be assumed that the city at 
some time and under conditions of the fu- 
ture not now foreseen will fail to renew^ the 
franchise, the privilege resulting to the 
company of operating the property for fif- 
teen years at the maximum rate of fare has 
been shown by the testimony before us to 
probably afford the company, even under 
the present high cost of operation, suffi- 
cient earnings to liquidate the entire capi- 
talization during that period. 

The foregoing protective features are 
deemed by this board to justify the finding 
that the stock of the Cleveland Railway is a 
safe and dependable investment. 

3. Notwithstanding the successful opera- 
tion of the Tayler plan due to the intrinsic 
merit and to the high class administration 
of the property both by railway and city 
officials, and notwithstanding the protective 
features whereby the investment is made 
secure, it appears from the evidence before 
us that the public, including many persons 
trained by the study of financial problems, 
are unacquainted with the conditions and 
protective features of the Cleveland Railway 
franchise. 

The natural tendency to consider the 
Cleveland Railway merely as a public util- 
ity and to put it in the class with other 
public utilities which have failed to give 
either service or profit, and to discredit any 
enterprise which is in part politically con- 
trolled, becomes a burden and handicap to 
the company in time of stress when finan- 
cial conditions are disturbed, and we recom- 
mend an amendment to the franchise pro- 
viding for the setting up of a reserve fund 
at a rate not less than $300,000 per annum 
to be held in trust for not less than ten 
years, and at the end of each ten-year 
period to be used for betterments and ex- 
tensions in the event the franchise at the 
end of that time is renewed, for which 
no capital shall be issued, thus tending to 
reduce the rate of fare ; otherwise, to be 
held for the liquidation of stock at the 
termination of the grant. 

4. "We recommend that Sec. 20 of the 
grant be amended so as to provide for the 
maintenance of the system in an average 
condition of 70 per cent of its capital value, 
in place of 70 per cent of its reproductive 
value, as now provided. 

The majority report of the board, 

signed by Mr. Stearns and Joseph R. 

Nutt, reads in part as follows: 

The parties hereto, are advised that the 
board of arbitration finds that the rate of 
interest on capital stock of the Cleveland 



Railway should be 7 per cent efff-ctive 
.Jan. 1, 1920, and that the franchise ordi- 
nance .should be amended to conform 
thereto. 

While the underlying princ-iple of the 
compact was that the status quo should bf- 
preserved to the utmost limit po.ssiblf- y<-t 
in the nature of things the covenant must 
from time to time yield to necessity. 

In the present emergency the railway 
asked the city to agree to an amendment 
raising the interest rate, and the city de- 
clined to do so. This was not one of the 
questions reserved for arbitration, and the 
refusal of the city to consent to the amend- 
ment would have ended the matter, except 
that the city agreed that the question might 
be arbitrated, and that an arbitration tri- 
bunal might be created in the manner pro- 
vided in the franchise, and the railway 
joined m this agreement, and thus the 
parties stipulated together that the question 
should be arbitrated and the award made 
binding upon both. 

No other amendment is proposed or sub- 
rnitted under the terms of this arbitra- 
tion except the single question as to 
whether the rate of interest shall be feised 
from 6 to 7 per cent. 

The railway company in the first in- 
stance, presented two general reasons why 
the rate of interest should be raised: 

1. That 6 per cent was not a fair return 
meaning that the existing stockholders and 
others who might acquire stock ought to 
have a larger return upon their investment 
due to the decrease in the purchasing power 
of money. 

2. That the railway companv has a cer- 
tain necessary program of extension and 
enlargement to meet the requirements of 
public necessity, and that conditions were 
now such that they could not finance this 
program on a 6 per cent basis. 

The first of these reasons have been 
eliminated from our consideration, as' the 
railway now disclaims reliance upon it. 
and, furthermore, the evidence discloses that 
a 6 per cent return is not yet discarded 
in this market as a fair return. The finding 
must therefore, rest wholly upon the second 
reason urged. 

The exact question is, therefore. Will the 
railway be able to finance the program at 
6 per cent? 

The most important result of this meeting 
is the full and complete illumination of the 
question of the safety of the Cleveland 
Railway stock as an investment. A right 
understanding of the franchise discloses 
that the stock of the Cleveland Railwav 
is safeguarded and protected so as to be- 
come a quasi-municipal investment. 

The protective features of the stock 
which were developed in this hearing are 
the conservative valuation originally fixed 
upon the physical property, and the subse- 
quent appreciation of value due to liberal 
expenditures for upkeep, the automatic in- 
crease of fare, the provisions for arbitra- 
tion, the semi-public control preventing ex- 
ploitation by stockholders, the provisions 
for purchase at 110 in the event of muni- 
cipal ownership, the power in the city to 
renew- the franchise and the strong proba- 
bility that the grant will be renewed and 
so become practically perpetual, and the 
opportunity for liquidation of the stock bv 
operation at the maximum rate of fare in 
the event the city does not renew the fran- 
chise. 

It does not necessarily follow, that be- 
cause Cleveland Railway stock is safe, 
sound and dependable as an investment 
and a quasi-municipal security it can be 
sold in this market on a 6 per cent basis. 

We have before us bankers and finan- 
ciers who testify that in their opinion 
Cleveland Railway will hut: sell in this 
market on a 6 per cent basis. The im- 
pressions which they find in the public 
mind and which they partly indorse, to- 
gether with the fact that numerous 7 per 
cent safe offerings are coming Into the mar- 
ket, turn the scale in their opinion against 
the Cleveland Railway security. 

Any of those financial experts could 
easily be convinced, on close study of the 
franchise provisions, that the views of the 
public about the stock are wrong, but their 
testimony relates merely to the view of the 
public and not to whether it is right or 
wrong', and they very well understand, as 
does everyone, that no campaign of educa- 
tion with interpretations from experts could 
be carried out so as to convince the public 
of its error. The public mind engaged in 
buying securities does not operate in that 
way. Hence they testify that the stock will 
not be sold on a 6 per cent basis, and no 
one testifies that it will. 

If it be accepted as the only opinion 
before us that Cleveland Railway stock 
will not sell in competition with other 
7 per cent securities unless it also earns 
7 per cent, then the intere.«t rate must 
be raised if the Cleveland Railway is to 
continue to serve the public. 

Counsel for the city do not dispute the 



72 



Electric Railway Journal 



Vol. 55, No. 1 



point that the opinion evidence before 
us is wholly to the effect that the stock 
will not sell upon a 6 per cent basis. They 
have contented themselves with saying , 
that the stock is of such character that 
it is safe investment, and that the public 
ought to be wiUing to buy it on a 6 per 
cent basis, and the evidence produced by 
the city supports very strongly this claim. 

The city contends that under the circum- 
stances the rate of interest should not be 
increased, but that the facts about the 
stock should be laid before the stock buying 
public and an effort made to sell before 
resorting to the proposed amendment. 

It is claimed that it is not a proper 
subject of opinion evidence as to whether 
the stock will sell, any more than it 
would be a subject of opinion evidence as 
to how far a certain man might be able 
to jump, that th§ proper thing to do would 
be to let him try. 

Many practical situations arise, however, 
in which opinion evidence as to the future 
must be resorted to. .... ^ 

The Cleveland Railway situation is acute. 
The program of extension to meet the re- 
quirements of the public is already upon 
us Commitments are already made in 
excess of th^ resources in sight. ,,,.,. 

The Interests of the public are such that 
we cannot wait for experiments. 



Bondholders Buy Fort 
Wayne Line 

The property of the Fort Wayne & 
Northern Indiana Traction Company, 
Fort Wayne, Ind., was sold under fore- 
closure on Dec. 29 for $1,301,000 to 
W. J. Devine and P. M. Chandler, rep- 
resenting the bondholders' protective 
committee. 

The terms of the original plan for 
the reorganization of the company, 
drawn up last summer, were reviewed 
in the Electric Railway Journal for 
Aug. 30. Notice is given now, how- 
ever, that the committee representing 
the first consolidated mortgage thirty- 
year 5 per cent gold bonds of the Fort 
Wayne & Wabash Valley Traction 
Company deposited under agreement 
dated Sept. 12, 1917, and the protec- 
tive committee representing the first 
and refunding mortgage 5 per cent 
twenty-year gold bonds and other se- 
curities of the Fort Wayne & North- 
ern Indiana Traction Company depos- 
ited under agreement dated Oct. 31, 
1917, and the protective committee rep- 
resenting the first mortgage 5 per 
cent bonds of the Lafayette & Logans- 
port Traction Company deposited under 
agreement dated Jan. 15, 1918, have 
approved certain revisions of the plan 
and agreement of reorganization dated 
Aug. 18, 1919, under which a somewhat 
better representation will be given to 
the Lafayette & Logansport Traction 
Company bonds and to the Wabash 
River Traction Company bonds, and 
also an additional amount of the first 
mortgage bonds of the new company 
will be reserved for expenses and con- 
tingencies; also the right will be re- 
served to the new company to issue, 
with the approval of the Public Serv- 
ice Commission of Indiana, at any fu- 
ture time, a class of securities which 
will be subject to the first mortgage 
bonds but prior to the adjustment mort- 
gage bonds and all junior securities, in 
order to assist in providing for the 
future requirements of the company. 

The holders of the undeposited bonds 
may deposit them under the plan, as 
revised, up to the close of business on 
Jta. 10. 



Clearing the Title 

The extra term of the Circuit Court 
of Taylor County, which convened at 
Grafton, W. Va., a few days ago with 
Special Judge S. M. Musgrove on the 
bench, was in session for a short time 
during the third week of December. 
The object of the special term was the 
entry of an order of dismissal in the 
pending suit of the city of Grafton 
against the Grafton Traction Company, 
which stood in the way of a consum- 
mation of the deal for the transfer of 
the railway to a syndicate which is 
seeking to purchase it. 

The claim of the city is for paving. 
It amounts to about $7,000, but the city 
has consented to accept $5,000. For 
the purpose of clearing the title to the 
property, it was necessary to have this 
suit dismissed. The order of the dis- 
missal was entered at the first day of 
the special term and the court then 
took an adjournment in the hope of 
hearing that the prospective purchasers 
were ready to pay over the money. 

Under an agreement entered between 
the creditors of the railway and the 
purchasers of the property the latter 
was to close up the deal not later than 
Jan. 15, but assurance was given that 
the matter would be consummated be- 
fore that time. The court will not 
enter a final adjournment order until 
the deal is closed, for in the event there 
is failure to pay over the money, the 
order of dismissal will be set aside and 
the case of the city against the traction 
company will be restored to the docket. 



Long Island Road May Resume 

The prospects appear to be good for 
putting the Huntington (N. Y.) Rail- 
road back into operation. Service over 
the line has been suspended since Sept. 
21. 

The complete cessation of operation 
followed the cutting off of power by 
the Long Island Railroad after Su- 
preme Court Justice Faber had ap- 
pointed Wallace E. J. Collins, Hunting- 
ton, as permanent receiver of the road. 
At the same time Justice Faber signed 
an order dissolving the company. 

Subsequently the property was dis- 
posed of by the receiver to William 
A. Dempsey. He thinks that part of 
the road can be run profitably. The 
conditions under which he is willing to 
resume service were outlined by him 
at a meeting in Huntington on Dec. 12. 
He said he wanted a franchise that 
would permit him to discontinue any 
part of the line that might prove un- 
profitable. His plan was to extend 
service to Bookman's comer in Mel- 
ville next May, as an experiment to 
continue throughout the summer, to 
determine whether the line could be 
operated on a paying basis without 
stopping that portion of it. 

The town board later decided in favor 
of Mr. Dempsey. The board of super- 
visors has also ratified this decision. 
The service when resumed will provide 
railway facilities in Huntington, from 
Holesite to the Jericho Turnpike. If 



Mr. Dempsey resumes services as he 
has proposed, there will be a gap be- 
tween the ends of the Huntington and 
the Babylon line. What will be done 
with the remainder of the line is a 
matter for conjecture. 

The old company went into the hands 
of Mr. Collins as receiver on Sept. 
20. About 20 miles of railway were 
involved in the sale. There were out- 
standing $30,000 of stock and $26,000 
of funded debt. 



Interborough Receivership 
Averted 

The Interborough Rapid Transit 
Company, New York, N. Y., through a 
plan approved by Federal Judge Mayer, 
succeeded on Dec. 31 in raising enough 
money to carry it over the first quarter 
of the new year. 

The company needed $3,300,000 to 
meet payments due on Jan. 1, failure to 
meet which, it was asserted, would 
throw the company into bankruptcy. 
The Interborough Consolidated Cor- 
poration, the holding company of the 
Interborough, and a bankrupt, finally 
agreed to lend the Interborough Rapid 
Transit Company $1,000,000, and this 
with money borrowed from other 
sources made up the amount needed. 

The loan was effected through a peti- 
tion by a committee representing 
$32,900,000 of the Interb«rough Metro- 
politan Company collateral trust 4J per 
cent gold bonds, out of a total issue 
of $63,776,000, and through a request 
by James R. Sheffield, trustee in bank- 
ruptcy of the Interborough Consoli- 
dated, to Federal Judge Mayer for in- 
structions. The permission of the court 
was necessary before the money could 
be transferred. Half of the $1,000,000 
goes back to the bankrupt concern in 
pajmient of a debt due by the Inter- 
borough Company. 

The total amount needed to meet 
pressing obligations was given as 
$6,600,000 but it was said the company 
wanted, at least $7,300,000, of which 
$4,000,000 was then in its treasury. 
Later, it was indicated that the Con- 
solidated Corporation had more than 
$1,900,000 and that if the company 
could raise the difference between this 
amount and $3,300,000 it would be safe. 

Mr. Hedley gave out a statement 
saying the company had been barely 
saved from a receivership by pledging 
of almost the last security it held, a 
$450,000 4i per cent mortgage on 
Brooklyn real estate, and by the sale 
of the $2,900,000 of six-month 7 per 
cent secured notes. 

Mr. Hedley said the only security 
left to the company was a credit of 
$2,200,000, the balance of an amount 
placed with the city as security when 
the subway was built. While the com- 
pany's present difficulties had been 
bridged, he said, a similar situation 
•will confront it in April and again in 
July unless the fare is increased. He 
expressed hope that new developments 
in the traction situation will bring 
about a meeting between officials of the 
traction companies and the city. 



January 3, 1920 



Electric Railway Journal 



73 



Financial 
News Notes 



Road Suspends for a Day. — The St. 

Albans & Swanton Traction Company, 
St. Albans, Vt., has resumed operation 
after a shut-down of twenty-four hours. 
Conditions became so onerous that the 
company could no longer continue to 
give service, but the city, following the 
suspension, agreed through the City 
Council to change the charter so as to 
lessen the obligations of the road. The 
differences appear to be settled for the 
time being at least. 

Remarkable Increase in Direct Stock 
Sales. — During the single year of 1919, 
up to and including Dec. 24, Byllesby 
companies, including the Standard Gas 
& Electric Company, Chicago, 111., sold 
$3,220,100 of their preferred stock di- 
rect to their customers, the number of 
sales for the year being 5,356, or an 
average of a little more than six shares 
to an investor. Compared with 1918, 
this is an increase of 47 per cent in 
the volume of stock sold and 24 per 
cent in the number of purchasers. 

Plans Return to Regular Dividend 
Rate. — The Montreal (Que.) Tramways, 
which suspended the payment of its 
10 per cent dividend rate early in 1918, 
owing to the unsettled state of the 
fare question, is reported in a press 
dispatch to have resumed the payment 
of arrears, a declaration of 2i per cent 
being ordered for the second quarter of 
1918, with the intention of making pe- 
riodical payments until the arrears are 
paid up. It was stated that the regular 
10 per cent rate would be resumed early 
in the new year. 

Abandonment Again Threatened. — 

The citizens of Ocean City, N. J., have 
appointed a committee to prepare a pe- 
tition containing an ordinance to em- 
power the city to engage in the trans- 
portation business. The plan of the 
ordinance is to give the city power to 
continue the operation of the Ocean 
City Electric Railway. The bondholders 
of the company expressed a determina- 
tion to discontinue running cars after 
Dec. 31. It was said that the company 
may finally operate a car two or three 
times a day until some decision is 
reached by the city. 

Baton Rouge Notes Offered. — Stone & 
Webster, Boston, Mass., are offering for 
subscription at 98J and interest, to 
yield more than 7.50 per cent, $300,000 
of three-year 7 per cent convertible gold 
notes of the Baton Rouge (La.), Elec- 
tric Company dated Jan. 1, 1920 and 
due Jan. 1, 1923. The proceeds from 
the issue are to be used to retire 
$147,000 of coupon notes of the company 
due Jan. 1, 1920, and the floating debt 
and also will provide additional funds 
for construction requirements. The 



company does the entire electric rail- 
way, electric lighting, power and gas 
business in Baton Rouge. 

Completes Little Rock Refunding. — 

It was announced that the Little Rock 
Railway & Electric Company, Little 
Rock, Ark., would pay at maturity on 
Jan. 1, 1920, the $600,000 of 6 per cent 
bonds then due. Payment was to be 
made at the office of the Interstate 
Trust & Banking Company, New Or- 
leans, La. It was announced that in 
connection with this payment this com- 
pany would issue $1,000,000 of 7 per cent 
one-year notes dated Jan. 1, 1920, and 
due on Jan. 1, 1921. The First Na- 
tional Bank, Little Rock, is reported to 
have underwritten this issue. 

Small Bond Issue Asked. — The Tren- 
ton, Hamilton & Ewing Traction Com- 
pany and the Trenton & Mercer County 
Traction Corporation, lessee, have 
asked the Board of Public Utility Com- 
missioners of New Jersey for permis- 
sion to issue $26,000 of bonds for the 
payment of the proposed extension of 
the Trenton Junction division into Tren- 
ton Junction proper. Work on the ex- 
tension will be started as soon as the 
bond issue is approved. Of the bond 
issue $10,000 will go to the Philadelphia 
& Reading Railway as part payment 
for the construction of a tunnel under 
Sullivan Way. 

Purchase Price Fixed. — A price of 
$55,000 has been agreed upon for the 
purchase by the city of the Greenwood 
Avenue line of the Western Washing- 
ton Power Company in the Ballard 
District of Seattle, Wash., and it is 
expected the deal will be consummated 
in the very near future. The deal in- 
cludes two one-man cars valued at 
$6,050 each, five trailers now being 
rented by the city, and a one-acre tract 
at present used as a carhouse, besides 
20,000 ft. of track on Fifteenth Avenue, 
N. W. Permission is also granted the 
city to use the Everett interurban 
tracks outside the city limits. 

Successor Company Planned. — Rumor 
has it that the new company which will 
succeed the Lewiston, Augusta & Wa- 
terville Street Railway, sold under fore- 
closure recently, vnW be known as the 
Androscoggin & Kennebeck Railway. It 
is said that the plan of reorganization 
has not yet been prepared and presented 
to the bondholders, but that it is ex- 
pected the plan will very shortly be in 
the possession of the security holders. 
The protective committee for the hold- 
ers of the first and refunding mortgage 
bonds of the Lewiston, Augusta & Wa- 
terville Street Railway is composed of 
Henry W. Cushman, Frank Silliman, 
Jr., Frank D. True, and C. Stevenson 
Newhall. 

Houston Valuation Hearing Jan. 5. — 

The hearing of the case of the Houston 
(Tex.) Electric Company against the 
city of Houston, whereby an injunc- 
tion is sought to restrain the city from 
interfering with the railway in collect- 
ing a higher fare than 5 cents, has been 
suspended to Jan. 5. The hearing has 
been held before a master in chan- 



cery who has been investigating the 
valuation of the traction company's 
property, rates of return, and other 
facts in determination of the question 
of whether the rate of 5-cent fare au- 
thorized by the city is confiscatory. 
When the hearing is resumed Lamar 
Lyndon, valuation engineer, who made 
a valuation of the property for the city, 
will present his report. The report has 
been in the hands of the city for some 
time and the figures have already been 
before the master, but Mr. Lyndon will 
appear to explain these in detail. 

Hearing on Staten Island Abandon- 
ment — Public Service Commissioner 
Lewis Nixon of the First District of 
New York held a hearing on Dec. 29, 
St. George, Staten Island, in reference 
to the proposal of the Staten Island 
Midland Railway and the Richmond 
Light & Railroad Company to discon- 
tinue service. These companies have 
been owned by the estate of the late 
H. H. Rogers and have been steadily 
losing money for a period of several 
years. The trustees of the esfate are 
now no longer willing to finance these 
continuing losses, and propose to dis- 
continue the operation of the lines at 
an early date. The two electric rail- 
ways named, it is reported, have had 
deficits aggregating $100,000 each 
year for several years past. The defi- 
cit for the month of November is 
stated by the representatives of the 
company to have been $17,000. The 
hearing was held to see if it is pos- 
sible to work out a plan by which the 
operation of the lines may continue. 

Refunding Completed at Toledo. — The 

Toledo Traction, Light & Power Com- 
pany, Toledo, Ohio., has sold to Harris, 
Forbes & Company $10,000,000 princi- 
pal amount of Toledo Traction, Light 
& Power Company first lien 7 per cent 
two-year gold bonds, proceeds from 
this issue to be used to refund the $10,- 
500,000 of bonds maturing Jan. 1, 1920. 
The $1,200,000 of Toledo Traction, 
Light & Power Company second lien 
bonds which were called for payment 
on Jan. 2, 1920, have all been converted 
into Cities Service Company common 
and preferred stocks, the holders of 
these second lien bonds, having in ad- 
dition to receiving a good income re- 
turn on their bonds for two years, re- 
ceived a large increase in market value 
owing to appreciation in market prices 
of the Cities Service Company stocks 
into which these second lien bonds were 
convertible. For the twelve months 
ended Nov. 30, 1919, earnings of the 
Toledo Traction, Light & Power Com- 
pany, with all earnings of the street 
railway department eliminated, were 
$4,183,552, and $1,728,627 net, and after 
providing for interest on the first lien 
bonds there was a balance for the 
twelve months of $856,233. The bonds 
were offered for subscription by Harris, 
Forbes & Company and the National 
City Company, New York, N. Y., on 
more than 7J per cent. The company 
is reducing the amount of the outstand- 
ing first lien bonds by $500,000. 



74 



Electric Railway Journal 



Vol. 55, No. 1 



Traffic and Transportation 



complete jurisdiction over rates and fares 
for its public utilities and that by the pas- 
sage of the public utilities act the State 
had delegated to that body, as its agent for 
that purpose, jurisdiction to consider and 
fix such rates. 

Meanwhile, under an order of the 

commission dated June 17, 1919, the 



Quincy Case Reviewed 

Sequence of Events Presented Leading 

to Opinion Upholding Commission's 

Power to Raise Fares 

The opinion of the Supreme Court of 

Illinois, handed down on Dec. 17, in company was allowed further to in- 

which the court held that the State crease its fares to 7 cents with 

Public Utilities Commission has the four tickets for 25 cents. The 

power to authorize electric railway company recently applied for a continu- 

fares in excess of those fixed by munic- ation of the 7-cent rate, which was 

ipal franchise, came as a result of a to have become inoperative on Dec. 31. 

long-drawn-out contest between the 

Seven Cents in Trenton 

Commission Estimates New Rate Will 

Give Company Income of $1,237,235 

— One Cent for Transfer 

The State Board of Public Utility 
Commissioners on Dec. 27 granted 
authority to the Trenton & Mercer 
County Traction Corporation, Trenton, 
N. J., to increase its fare from 6 cents 
to 7 cents and to charge 1 cent for each 
transfer. The present fare is 6 cents 
with free transfers. The company also 
sought to increase the fare in the four 
zones on the various suburban lines. 
The increase means virtually an 8-cent 
fare in many instances. The new rate 
of fare goes into effect on Jan. 4. 

The commission based the increase 
upon the actual physical valuation of 
the company's property as made by the 
board's inspectors. The new rate of 
fare will give the company a gross in- 
come of $1,237,235 a year and the re- 
turn to the company on capital invest- 
ed will be 4.5 per cent on the new 
property valuation or 5.8 per cent on 
the new value less extreme deprecia- 
tion, all according to estimate. 

One of the reservations of the commis- 
sion is that the company must appro- 
priate annually for maintenance and 
depreciation a sum equal to one-quarter 
of the revenue. Using the pre-war 
prices results in a valuation about 
81,000,000 less than is claimed by the 
company. J. G. White & Company 
estimated that the property was worth, 
as of June 1, 1918, $4,875,615. De- 
ducting $1,000,000 because of the high 
unit prices used and allowing for addi- 
tions since the date of the inventory, 
makes a total value at the present time, 
according to the company's appraisal, 
of $4,229,728. 

An allowance of $100,000 for work- 
ing capital is made as against $40,000 
allowed in 1915. The operating ex- 
penses for 1920, with the latest increase 
in wages allowed for, are estimated at 
$660,000, taxes are taken at $85,000 and 
maintenance and depreciation at $320,- 
000. The board estimates that the new 
fare will amount to $1,223,035; that 
miscellaneous revenue will amount to 
$14,200. 



city of Quincy and the commission. 
The city took exception to the action 
of the commission in permitting the 
Quincy Railway to raise its rates. 

The decision of the Supreme Court 
was discussed in the issue of the Elec- 
tric Railway Journal for Dec. 27, page 
1064. A review of the events leading up 
to the rendering of the opinion follows : 

During the year 1912 the Quincy Railway 
accepted a so-called franchise ordinance 
from the city of Quincy which fixed the 
rates for electric railway service for a 
period of twenty years. The ordinance fixed 
the fare at 5 cents. 

On Jan. 30, 1918, a petition was filed with 
the Public Utilities Commission of Illinois 
by several companies affiliated with the 
Illinois Traction System, aslting for in- 
creased, rates to meet the conditions exist- 
ing on account of the war. On May 16, 
1918, an order was entered by the com- 
mission granting certain relief asked for in 
this application, among others being that 
of the parties should take or claim any ad- 
in fares in Quincy amounted to a cancella- 
tion of the sale of six tickets for 25 cents 
and the sale of reduced fare tickets to 
school children and established a flat 5-cent 
fare. 

On June 24, 1918, the city of Quincy took 
a statutory ajipeal under the public utilities 
act to the Circuit Court of Sangamon 
County from the opinion and order of the 
Public Utilities Commission so far as it 
applied to the Quincy property. Owing to 
the fact that the record before the commis- 
sion involved numerous other properties a 
stipulation was entered into between the 
parties concerned in this appeal that the 
record to be sent to the Circuit Court for 
review should comprise only so much of the 
record as related to the Quincy property, 
and it was further stipulated that neither 
of the parties should take or claim any ad- 
vantage by reason of parts of the record 
being left out of the record taken on appeal 
to the Circuit Court. 

The purpose of this stipulation was to 
bring before the court the simple legal 
proposition as to the right of the Public 
Utilities Commission of Illinois to increase 
fares above those provided by the city 
ordinance, and it was this question whicVi 
was finally litigated through the courts to 
the recent decision by the Supreme Court 
of Illinois. 

On Feb. 5, 1919, a hearing was had on 
the appeal before Judge E. S. Smith of the 
Sangamon County Court at Springfield, and 
the court affirmed the order of the Public 
Utilities Commission. The city of Quincy 
then prosecuted an appeal to the Supreme 
Court of Illinois, whereupon the record of 
the commission relating to the Quincy prop- 
erty and the order of the Circuit Court of 
Sangamon County affirming the order was 
taken to the Illinois Supreme Court and the 
legal question involved there presented for 
consideration. 

On Dec. 17, 1919, the Supreme Court of 
Illinois filed its opinion in this matter, af- 
firming the order and decree of the Cir- 
cuit Court of Sangamon County. The effect 
of this decision is to hold that the commis- 
sion has jurisdiction and power to increase 
farp=; above those fixed bv city franchis-^ 
ordinances. The theory of the opinion of 
the Supreme Court goes upon the well- 
settled principle of law that the State of 
Illinois, under its police power, has full and 



Chicago Fares Reduced 

Surface Lines Now Charging Flat 

Six-Cent Rate Ordered by 

Commission 

The Chicago (111.) Surface Lines be- 
gan charging a flat 6-cent fare on 
Dec. 27 in compliance with an order of 
the State Public Utilities Commission 
issued on Dec. 23. It is generally un- 
derstood that the new rate will not be 
adequate to provide a reasonable re- 
turn. The commission, in fixing it at 
6 cents, hoped, however, to provide 
funds for the payment of bond inter- 
est, pending a final valuation of the 
companies' properties and the fixing of 
a permanent rate. 

As announced in the Electric Rail- 
way Journal for Dec. 27, page 1065, 
the commission took action because it 
found that the Surface Lines were re- 
ceiving too large a return. The reve- 
nue under the ticket plan adopted on 
Dec. 1 exceeded the commission's esti- 
mate. Judging by the experience of 
other large cities it was expected that 
an average fare of 6.25 cents would re- 
sult. Even with the establishment of 
over 200 agencies only 12 per cent 
of the paying passengers used tickets 
sold at the rate of fifty for $3.50 and 
only 1 per cent those sold at the rate 
of ten for 65 cents. The result 
was an average revenue fare of 6.85 
cents for the first eighteen days of 
December. 

Free Transfers Stay 

On the question of fixing the rate at 

5 cents and charging for transfers, 

the commission's latest order said: 

This is the method used in some cities 
like Philadelphia and Cleveland which 
nominally, have a 5-cent fare, but in which 
taking the charge for transfers into con- 
sideration, the average fare is considerably 
more. This would involve a deviation from 
the fixed policy in Chicago for many years 
and in our opinion should not be seriously 
considered in a tentative order. It will be 
time to consider a departure from this fixed 
policy, if at all, when the evidence is closed 
and the case is ready for a final order. 

The commission directed that all oijt- 
standing tickets should be accepted for 
transportation or redeemed by the com- 
panies at the prices paid for them. 
Tickets from the fifty-ride books are 
to be accepted for transportation, even 
though detached and presented by per- 
sons other than the original purchasers. 

Attorneys for the city objected stren- 
uously to the entry of the 6-cent fare 
order. They would be satisfied with 
nothing but a 5-cent fare, and one 
of the commissioners reprimanded Spe- 
cial Counsel Cleveland, saying that the 
municipal authorities could see no 
merit in any fare order that did not 
"bear the stamp of the City Hall." 

The Surface Lines' case in the 
valuation proceedings has been closed. 
The commissioners agreed that the 
city would have to proceed without 
further delay in completing the hear- 
ings so that a final order might be en- 
tered at an early date. The next ses- 
sion was set for Jan 7. Meanwhile the 
course which the city will take in its 
fight for a 5-cent fare remains in 
doubt. 



January 3, 1920 



Electric Railway Journ 



AL 



75 



Request for Transfer Charge Withdrawn 

Remarkable Improvement in Conditions Has Made Additional Fare 
Charge Unnecessary, Says Detroit Company 



The Detroit (Mich.) United Railway 
in a letter to Circuit Judge Adolph F. 
Marschner on Dec. 26 waived its claim 
for a 1-cent transfer charge. This 
notice followed a few days after Mayor 
Couzens announced that he had almost 
perfected plans for railway service in 
Detroit, independent of the Detroit 
United system, as referred to elsewhere 
in this issue. 

With the request for the additional 
charge of 1 cent for transfers with- 
drawn, the Detroit United Railway 
will continue to run its cars on a 
straight 5-cent fare basis as long as 
present conditions continue. The com- 
pany states that the additional charge, 
which was asked for by the company 
at the time of the strike settlement last 
spring during a period of business un- 
certainty, is now not necessary because 
of improved conditions. 

Judge Marschner's court order, is- 
sued on June 11, following a confer- 
ence of the Mayor, city attorneys and 
legal representatives of the railway 
provided for a straight 5-cent fare on 
all lines with free transfers to all 
lines. This provided for the increase 
of fares on the Pingree or 3-cent lines 
to 5 cents, but left the franchises un- 
touched. Workingmen's tickets good 
during certain hours on the 5-cent lines 
were eliminated. 

Under the agreement reached, a 



taken by the city officials during the 
controversy last June. In view of the 
fact that the company admitted dur- 
ing the controversy that 1-cent trans- 
fers, if granted, would mean an in- 
creased revenue of about $1,000,000 a 
year, the waiver action represents a 
saving of that amount to the car riders 
of Detroit. This is held by the Mayor 
to be vindication of the action taken at 
the time of settlement. 

In the communication to Judge 
Marschner, abrogation of the court 
order in its entirety is not asked. The 
Detroit United Railway merely asked 
that the matter of arbitration be 
dropped for the present. This leaves 
the company free to make a request 
for additional income later if the addi- 
tion of new equipment and cost of 
repairs make it necessary. 

The letter to Circuit Judge A. F. 
Marschner, signed by B. F. Weadock, 
attorney Detroit United Railway, said: 



When the order was entered providing for 
arbitration on the necessity of charging 1 
cent for tran.sfers there was a general feel- 
ing of bu.siness uncertainty, and the indica- 
tions were that this unsettled and depressed 
condition would continue, liad it so con- 
tinued, the 1 cent for transfer would not 
have provided a sufficient fare. 

However, in the latter part of June af- 
fairs assumed a more settled aspect, busi- 
ness picked up, it began to increase, it con- 
tinued to increase, until finally it reached 
an abnormal state. 

This new situation required more equip- 
ment. We had hoped to add it, but unfor- 
tunately, certain conditions existing during 
and following the period of the war, made 
it impossible for the company to purchase 
the additional cars and material to afford 
better service. 

If we had not been thus prevented, the 
added burden, even with the great increase 
in business, would have demanded this 
extra charge. But until needed we will 
not ask it. 

Our engineers inform us that a sum ex- 
ceeding $15,000,000 is immediately neces- 
sary to bring the present tracks and equip- 
ment to sufficient capacity to handle prop- 
erly the street car riders of Detroit. We 
realize this necessity. We hope to meet it 
and we even hope a public spirit of co- 
operation may assist us to meet it. 

However, while the present business 
activity continues and we are forced to 
curtail the necessary service, it does not 
seem right to ask the people for this addi- 
tional cent. 

I therefore desire to advise your honor 
that the company withdraws its request 
for a cent for a transfer, and consequently 
arbitration is not at present necessary. 

The city has a copy of this communica- 
tion. 



Court Seeks Action in New York 

Suggests City Grant Temporary Eight-Cent Fare Pending Full 
Consideration of Traction Tangle 



increase to be open to all companies oper- 
ating subway, elevated or surface lines in 
New York which accept this plan, so far 
as it affects their respective lines. 

2. In the case of solvent companies the 
acceptance to be by the corporations them- 



United States "Judge Julius M. 
Mayer, in a report on the traction situ- 
ation in New York City, made public on 
Dec. 28, instructs Lindley M. Garrison, 
board of arbitration was provided receiver of the Brooklyn Rapid Transit selves by resolution of theiJ- boards of di 
, . 1 , .., .1 j_- ,. ^-i ^ T 1. in TT J ■ j; rectors. In the .case of companies whose 

which was to settle the question of the Company; Job E. Hedges, receiver oi property is in the hands of receivers the 

the New York Railways, and James R. 
Sheffield, trustee of the Interborough 
Consolidated Corporation, a bankrupt, 
to apply to the Board of Estimate for a 



necessity for the 1-cent charge for 
transfers, after the new fare arrange- 
ment had been in operation for a trial 
period of three months. This board 
was composed of Mayor James Couz- 
ens, the city's representative; John J. 
Stanley, president of the Cleveland 
Railway, appointed by the Detroit 
United Railway, and Frank H. God- 
dard, the third member, who was 
chosen by the first two named. 

Monthly audits of the railway com- 
pany's books were made by city audi- 
tors, and as a result it was claimed 
that the books showed a net income 
each month instead of a deficit as the 
company had claimed would result 
without the charge for transfers. The 
auditors made no allowance, however, 
for depreciation while the Detroit 
United officials claimed a monthly de- 
preciation of $75,000. The amount of 



acceptance to be by the corporations, by 
the receivers with the approval of the court, 
and by the committees of security holders 
in so far as such committees have been 
organized. 

3. In the case of surface lines, the fol- 
public hearing to the end that plans for lowing conditions especially applicable to 
'^ -^ them should be accepted for the first half 



the temporary relief of the companies 
and for a final solution of the prob- 
lems facing them may be brought 
about. 

Judge Mayer points out that efforts 
so far to obtain a conference with the 
city officials have failed, that early in 
1920 a crisis will arise that may 

threaten the lives of some of the cnm ^^- ^° rentals are to be paid except by 

cnieaxen i-ne uves oi some oi tne com- ^-ay of maturing interest upon underlying 
panies and which will surely lay heavy bonds held by the public. 

a3. No interest is to be paid upon the 



of 1920: 

a. In respect of the lines formerly em- 
braced within the New York Railways : 

al. So far as affects transfers and pub- 
lic convenience, they shall be operated as 
one system substantially as they were oper- 
ated by the New York Railways prior to 
the receivership, the fare to be 8 cents, with 
no extra charge for transfers. 

Interest the Only Rental 



hardships upon them and upon the pub- 
lic, and that the time has come for 
prompt and speedy action. The tem- 
porary plan suggested by the court pro- 
vides in brief for an 8-cent fare, the 
restoration of the system of free trans- 



first real estate and refunding mortgage 
bonds or the adjustment mortgage bonds 
which are now in default. 



a4. Any surplus earnings after the^a 

nrf i 



,_ay- 
ment of operating expenses, taxes anrf in- 
terest on underlying bonds as aforesaid 
shall be spent as may be jointly approved 
by the court and the public officials upon 
additions and betterments, including equip- 
ment, the aim to be to distribute this expen- 



fers on the surface lines, cessation of .^ ^^^ ^ ^ ^^ ^^ ,...,, ,,,.,„,^ ,.,„^ ^^ 

depreciation claimed was exceeded by rents on leased lines and setting aside diture among the various lines as nearly 

the net earnings during the months of any surplus, after prescribed conditions fheir'"TontHbu''t'on''*'tf ^net"ea™Tgs"°"The 

August and September, as the audi- are filled, to make payments on account balance, if any, to be paid in satisfaction 

tors contended that a net income for of court claims. °[i„°/ to"re^ce'ive?ship'" "'"* "^^'""^ incurred 

August was shown as approximately The permanent plan provides for con- b. In respect of the lines formerly em- 

$210,000, and in September approxi- cessions by the companies, such as the lystlm :'''"^'" *^^ Brooklyn Rapid Transit 

mately $180,000. • surrender of perpetual franchises. bi- They shall be operated so far as 

The work of the arbitration board The following temporary plan is pro ''^'^^'"'^ transfers and public convenience. 

posed in Judge Mayer's memorandum 



is automatically ended by the waiver 
action by the company. City officials 
had not urged the matter of arbitra- 
tion, as it was felt that such proceed- 
ings would be of no advantage to the 
city except as vindication of the stand 



1. By concurrent action of the Board of 
Estimate & Apportionment, the Public Serv- 
ice Commission and the Transit Construc- 
tion Commissioner a temporary increase in 
fare to 8 cents to be granted, such in- 
crease to terminate June 30, 1920, unless it 
is extended by proper official action. This 



as one system substantially as they were 
operated prior to the surrender of the 
Brooklyn City lines, the fare to be 8 cents, 
with no extra charge for transfers. 

b2. No rentals are to be paid, except, by 
way of maturing interest, upon underlying 
bonds held by the public. 

b3. No interest is to be paid upon the 
certificates of indebtedness issued by the 
various surface line companies. 



76 



Electric Railway Journal 



Vol. 55, No. 1 



b4. Any surplus earnings after payment 
of operating expenses, taxes and interest 
upon bonds as aforesaid shall be spent as 
may be jointly approved by the court and 
the public officials, upon additions and bet- 
terments, including equipment, the aim 
being to distribute this expenditure among 
the various lines as nearly as may be prac- 
ticable in proportion to their contribution to 
net earnings. The balance, if any, lo be 
paid in satisfaction of or on account of 
tort claims incurred prior to receivership. 

b5. It is recognized that in the case of 
the Brooklyn City Railroad, by reason of its 
relatively low bonded debt, this temporary 
plan furnishes a smaller return as com- 
pared with its total securities than in the 
case of most of the other surface hnes of 
the Brooklyn Rapid Transit System. Some 
fair disposition can no doubt be made of 
this situation. 

c. No income is to be used in the payment 
of other rentals or dividends to stockholders. 

d. If deemed preferable by the public 
officials, the surplus above underlying fixed 
charges could in whole or in part be paid 
into a suspense fund, the disposition of 
which would be determined by the ultimate 
plan. 

4. The Interborough Rapid Transit Com- 
pany to agree as follows : 

a. Its income, after paying operating ex- 
penses and taxes, to be applied to the 
payment of its fixed charges, including 
interest on bonds and notes and the pay- 
ments under the Manhattan lease. 

b. The balance, if any. to be disposed of 
only on joint approval of the court and the 
public officials. 

5 In respect of the .<^ubway and elevated 
lines of the Broolclyn Rapid Transit 
system : ^ , 

The income, after the payment of oper- 
ating expenses, taxes and Ihterest on under- 
lying bonds and receivers' certificates, to 
be applied as follows: 

a. An amount to be approved by the 
court and the public officials to be paid 
into a fund for the satisfaction or reduc- 
tion of the tort claims that accrued prior 
to the receivership. 

Disposal of Remainder 

b. The remaining earnings to be applied 
as follows: (a) The receiver to retain the 
company's preferentlals as provided in Con- 
tract No. 4. (b) The city then to receive 
its preferential under said contract. 

c. Under the terms of the order creating 
the receiver's certificates, 70 per cent of the 
earnings received by the receiver must be 
impounded for the security and payment 
of the receiver's certificates, the remain- 
ing 30 per cent to be available for expen- 
diture upon the property. 

d. Both the Interborough and the 
Brooklyn Rapid Transit companies and the 
receiver of the latter are to waive for the 
first half of 1920 any right to have the 
earnings for the half year applied toward 
the reduction of accumulated arrears of 
their preferentlals. 

6. The foregoing plan provides for a 
temporary arrangement, including an in- 
creased fare, which (unless extended by 
the public officials) will end with the first 
half of the calendar year 1920. It is hoped 
that before then a plan for readjusting the 
relations between the various companies and 
the city and plans for the reorganization of 
such of the traction companies as are in- 
solvent or require reorganization will have 
been worked out and agreed to by all the 
necessary parties. If this should prove im- 
practicable, the extension of the temporary 
arrangements for a few months more would 
be in the hands of the public officials, to be 
dealt with in their discretion. 

It is manifestly impossible to propose 
in adjiance the terms of any new arrange- 
mentHfor final solution, as they will in- 
volve conference and careful consideration. 
Nevertheless, it is desirable to promote 
prompt discussion, and to that end some 
general principles may be suggested. 

The Board of Estimate adopted 
unanimously on Dec. 30 a resolution 
offered by Comptroller Charles L. Craig 
for an investigation by the board into 
the affairs of all of the traction com- 
panies. The same day Transit Construc- 
tion Commissioner John H. Delaney 
sent to the board a letter advocating 
city ownership, stating that representa- 
tives of the rapid transit companies 
were desirous of a conference with the 
city administration. Nothing was done 
by the Board of Estimate toward pro- 
viding a method for the coming inves- 
tigation. 



San Diego Zone Fares Effective 

Careful Preparations and Wide Publicity Mark Installation of Higher 
Rates — Much Advertising by Company 



A two-zone system with a 5-cent fare 
in each zone, became effective on the 
lines of the San Diego (Cal.) Electric 
Railway on Jan. 1. By the new plan, 
under which the city is divided into an 
inner and an outer zone, the cash fare 
for a ride from the city limits to the 
center of San Diego becomes 10 cents. 
Free transfers are continued. The 
system was authorized by the Califor- 
nia Railroad Commission in an order 
handed down on Nov. 14, and was de- 
scribed in the issue of the Electric 
Railway Journal for Nov. 15, page 
961. 

While the new rates were at first 
spoken of as a 10-cent fare to the end 
of the outer zone, under the ticket sys- 
tem devised by the company the high- 
est city fare paid is really 7.5 cents, 
and on monthly book tickets, the rate is 



Likewise the company carried exten- 
sive advertising of the new rates in all 
publications reaching the 12,000 or more 
men in the destroyer section of the 
Pacific fleet, whose base is at Sai^ 
Diego. These men are liberal patrons 
of the electric railway system, and 
every effort was made to see that they 
were informed of the provisions of the 
new rates. 

The suburban newspapers were also 
used, by means of display advertisements, 
to acquaint the patrons of the lines with 
the new rates, as these include an in- 
crease in fares to all suburban points. 
For instance, the round-trip fare to 
Chula Vista under the old rate was 30 
cents, while under the new rate it is 
40 cents. The round trip to Coronado 
from the inner zone, formerly 15 cents, 
is raised to 20 cents under the new 



Zone Fanes ordered by Cairfornia i^ailroad GxniRission 

Effective JANUARY 151 



OUTER ZONE 




INNEK ZONE 5" CASH FARE 

OUree zone when hot thsu inner zone S*' cash fare 
Cont.rHxuraTripOuteilimer Z««. Withoui TCKHTS iO CENTS 
FOUR TKKETS R3i 30f Eauivaleiit to 7.^< FARE I«RU BOW JONtS 



MONTHLY COMMUTATION BOOKS 
mimi ONE ROUHD TRIP E&CH MY Of CWIHDW MWITH. 
EQUIVALEMT TO 62^ FARE THRU BOTH ZONES 
TraiBfers Issued Only ai time FARE PAID 

SAN DIEGO ELECTRIC RAILWAY CO. 




MAP advertising SAN DIEGO FARE CHANGE 



6.5 cents per ride, with transfer priv- 
ilege to any part of the city. The 7.5- 
cent tickets come in strips of four, 
which cost 30 cents, and may be pur- 
chased in any quantity and are good 
for bearer. The 6. 5-cent commutation 
tickets are good only for the purchaser 
and must be used on the date printed 
thereon. 

Extensive Publicity Program 

A minimum of confusion attended the 
installation of the new system. Since 
this is the first occasion on which the 
California Railroad Commission has 
authorized the establishment of zone 
fares on urban lines, the working-out 
of the plan is awaited with great in- 
terest both by the company and the 
commission. Careful preparations 
were consequently made to educate 
the public concerning the new fares. 

The company employed varied forms 
of publicity in stating its case and in 
informing its patrons as to the work- 
ing of the zone plan. Large display 
advertisements in the newspapers were 
used, each day the advertisement stres- 
sing some particular phase of the new 
rates, and, in addition, folders and cir- 
culars printed in English and in Span- 
ish were circulated among resi- 
dents of the city and suburbs, giving 
all the needed information. 



rates, including transportation on the 
ferry. 

At the corner of Fifth Street and 
Broadway, one of the chief transfer 
points in San Diego, a large sign-board 
was erected on the scaffolding of a de- 
partment store building in course of 
construction, where all passers-by could 
see it. The sign-board has a map of 
the city plainly showing, in contrasting 
colors, the two zones into which the city 
has been divided. A facsimile of the 
map is shown above. 

Metal markers have been placed on 
the different car lines to designate the 
boundaries of the .zones, so that pas- 
sengers may readily distinguish 
whether they board cars in the inner, 
or 5-cent zone, or the outer, or 10-cent 
zone. 

Advertising Car Employed 

Another form of publicity for the 
new rates and the new method of fare 
collection was the sending of a special 
advertising car over the different 
routes in the city, with employees on, 
board to explain the new system, and 
to sell tickets to patrons who desired 
them. 

There is some doubt as to how the 
method of collecting fares on the city 
lines will work out. Under the system 
formerly in operation, all cars were 



January 3, 1920 



Electric Railway Journal 



77 



operated on the pay-as-you-enter plan. 
Under the new rates inbound passen- 
gers pay as they enter, but outbound 
passengers pay as they leave, so that 
there can be no dispute as to whether the 
ride included both zones. Passengers 
entering the car in the outer zone are 
given identification checks, which are 
collected by the conductor when the 
car reaches the limit of the inner zone. 
The conductors were called to the 
office of M. J. Perrin, manager of 
transportation, in small groups for the 
week preceding the installation of the 
new rates and were schooled in the 
operation of the system. The tickets 
have been placed on sale at banks and 
other institutions as well as at the com- 
pany's offices. Books of forty of the 
7.5-cent tickets, issued as a convenient 
form for Christmas gifts, proved good 
sellers. 

Fare Plea at Charleston 

West Virginia Company Would Increase 

Rates 35 Per Cent — Varying 

Opinions on Case 

Diverse findings have been arrived at 
by the various authorities examining 
into the application of the Charleston 
Interurban Railroad for an increase of 
fares in the city of Charleston, W. Va. 
In a statement submitted to the Public 
Service Commission by the company, it 
would appear that the company's earn- 
ings on its investment are very small — 
perhaps as low as 1 or 2 per cent. 

Don 0. Blagg, city attorney of 
Charleston, in offering opposition to the 
allowance of the increase, placed the 
company's net earnings at 8 to 10 per 
cent. 

The company sets forth that it 
applied to the Public Service Commis- 
sion for authority to increase its pas- 
senger rates for the following reasons: 
(a) Increased cost of operation and 
maintenance. (b) Increased cost of 
necessary additions and improvements. 

At the time an increase of rates was 
granted to the petitioner^ it was gen- 
erally assumed that at the conclusion 
of the war a readjustment of prices 
of labor and commodities would occur, 
resulting in a considerable reduction in 
the cost of materials and probably 
some reduction in the price of labor. 
Since the cessation of hostilities, how- 
ever, the prices of material and labor 
have both continued to increase and are 
still increasing. 

Material Wage Increase 

The petitioner has materially in- 
creased the wages of its employees, but 
further increases in wages will be nec- 
essary to maintain a fair level with in- 
creases being granted elsewhere and to 
meet the increased cost of living to 
such employees. 

The cost of the new construction and 
reconstruction necessary to be done 
will amount to several hundred thou- 
sand dollars, and, because of the bad 
financial showing of electric railways 
all over the country, petitioner feels 
compelled to rely largely upon its own 
resources and local sources of revenue 



for funds necessary to make improve- 
ments. 

The increase of rates now requested 
is the first ever asked applicable to the 
city of Charleston itself. It is an in- 
crease of 40 per cent upon the cash 
rate and of 30 per cent upon the ticket 
fare rates, making an average in- 
crease of approximately 35 per cent 
or less upon the present rates. 

The increase granted in 1918 was 
a small advance upon the interurban 
lines, largely in the way of an adjust- 
ment and equalization of rates upon a 
2-cent per mile basis. The increase 
now sought is upon the basis of 2i 
cents per mile, distributed as equitably 
as may be by zones over its interurban 
lines. This is an increase of 25 per 
cent over the existing rates, and taken 
in connection with the increase granted 
in 1918, and with the commutation 
rates allowed, makes a total increase 
of approximately 35 per cent upon the 
rates existing prior to 1918, which were 
the initial rates fixed by the petitioner. 

H. E. Nease, the Public Service Com- 
mission's own statistician, after an ex- 
amination of the accounts and property 
of the company, file a report in which 
he found that the company, in the first 
six months of 1918, earned 18 and 20 
per cent net on its investment. He 
explained : 

During the six months period ended June 
30, ■ 1918, the company expended $89,744 
for additions and betterments, bringing 
the total gross investment up to $1,690,037. 
and the depreciated investment up to $1,- 
477,252. 

A question was raised regarding the 
charging of operating expenses 
amounting to $24,000, incurred in con- 
nection with reconstruction and other 
expenses incident to the double-track- 
ing of Virginia Street, against the in- 
come for that six months period. With 
that item charged off, Mr. Nease shows, 
the net income for the period was 
S,158. He continues: 



the notable efficiency of operation and 
management of the Union Street Rail- 
way in that it has operated so long un- 
der the original fare schedule. 



In my opinion, this is not a proper charge 
to the operating expenses applicable to this 
period, but should be spread over a number 
of years. Not more than $1,500 of the 
amount should be included in the expense 
for this period. Eliminating this item for 
expenses, the total net operating income for 
this six months period, therefore, is ap- 
proximately $131,000, or about 18 per cent 
on the investment. 

The report shows that the net in- 
vestment of the company on Dec. 31, 
1918, was $1,387,507, or more than five 
times what the investment of the com- 
pany was fifteen years ago. It also 
shows that the net income of the com- 
pany for the year 1918 was $234,795, or 
five times what the net income was ten 
years ago. 



Last Five-Cent Fare Abolished 

By order of the Public Service Com- 
mission of Massachusetts the Union 
Street Railway, New Bedford, Mass., 
has been authorized to file a schedule 
of new tariffs which has become neces- 
sary on account of the insufficient mar- 
gin existing between the operating ex- 
penses and the gross revenue. 

By this order, the last single 5-cent 
fare will disappear in the State of 
Massachusetts. It is worthy of note 
that this fact is striking evidence of 



Declines Conference on St. Louis 
Fares 

Officials of the United Railways, St. 
•Louis, Mo., have declined to confer with 
city officials regarding a reduction of 
the fares. Col. Albert T. Perkins, gen- 
eral manager for the receiver, has no- 
tified Director of Public Utilities Hooke 
that a conference would be useless, as 
the determination of the fare questions 
is entirely within the province of the 
Public Service Commission. 

Mr. Hooke requested the conference, 
in order to arrive at a compromise 
without necessitating the renewal of a 
hearing before the commission. Rolla 
Wells, receiver for the company, pre- 
viously indicated he would oppose any 
reduction of the fare. He asserted that 
there is no reason for reducing the 
schedule at this time, as the company 
is not making money at present. He 
declared that 4 cents of every fare 
collected went for wages of employees. 
After receiving the communication 
from Colonel Perkins, Mr. Hooke said 
that no further move would be made 
by the city until a decision is rendered 
by the Public Service Commission on 
the petition for a rehearing of the case. 
He said that additional evidence would 
be adduced to show that the present 
scale of fares is exorbitant. 



Transportation 
News Notes 



Pupils' Fares Reduced. — The New 

York & Stamford Railway, Port Ches- 
ter, N. Y., has reduced the fare to 
pupils attending the Greenwich (Conn.) 
schools. The new rate is 5 cents. 

Eleven Hurt at Toledo. — Eleven per- 
sons were seriously injured on Dec. 16 
when a package freight car of the Lake 
Shore Electric Railway collided with a 
car of the Toledo Railway & Light 
Company at the east end of the Cherry 
Street Bridge, Toledo, Ohio. 

Springfield Six-Cent Fares Continue. 

— The Public Utilities Commission of 
Illinois has issued an order continuing 
the 6-cent fare charged by the Spring- 
field Consolidated Railway until March 
1, 1920. The company's application for 
a 7-cent fare is at present before the 
commission. 

Seven Cents Asked in Olympia. — The 
Olympia Light & Power Company, 
which furnishes electric railway service 
in Olympia, Wash., has applied to tke 
City Council for an increase in fare 
from 5 cents to 7 cents. The company 
is operating its car lines at a loss of 
$2,000 a month. 



78 



Electric Kailway Journal 



Vol. 55, No. 1 



Ten Cents in Northport. — The town 
of Northport, N. Y., has authorized the 
Northport Traction Company to in- 
crease its fare from 5 cents to 10 
cents. The line connects Northport 
Village and the station of the Long 
Island Railroad. The increase was 
made subject to the approval of the 
State Public Service Commission. 

Six-Cent Fare Again Extended. — The 

city of Spokane, Wash., has agreed to 
an extension of the present 6-cent fare 
charged by the Washington Water 
Power Company and the Spokane & 
Inland Empire Railroad for a further 
period of ninety days. The city will 
make a demand on March 2, 1920, 
when the agreement is scheduled to ex- 
pire, for a return to a 5-cent fare. 

Tacoma Asks Ten Cents. — The Ta- 
coma Railway & Power Company and 
the Pacific Traction Company on Dec. 18 
filed tariffs with the Public Service 
Commission, asking for permission to 
charge a 10-cent fare on the Tacoma 
railway lines. The companies are rep- 
resented by James P. Howe and Scott 
Henderson, who assert that increased 
fares are necessary to avoid bank- 
ruptcy. Under the State law, the tariff 
will become effective thirty days after 
filing, provided no protests are made. 

Would Add Five Cents to Fare. — 

Increases from 20 cents to 25 cents on 
the ferry rate between Bristol and 
Bristol Ferry and from 25 cents 
to 30 cents in the rate between Bris- 
tol Ferry and the Newport Naval Sta- 
tion, are proposed by the Newport & 
Providence Railway, Newport, R. I., in 
tariffs filed recently with the State 
Public Utilities Commission. At pres- 
ent the company charges 5 cents be- 
tween Union Station and the Two- 
Mile Comer in MiddletovvTi. Under the 
new tariff the fare will be 10 cents. 

Commission to Pass on Skip Stop. — 

The attempt of the city of Memphis, 
Term., to force the Memphis Street 
Railway to abandon the skip stop on 
its lines, was temporarily halted on 
Dec. 24 when Judge McCall ruled that 
the power to order the discontinuance 
of the skip stop vested with the State 
Railroad & Public Utilities Commission. 
The company has obtained an injunc- 
tion restraining the city from enforcing 
the terms of an ordinance providing for 
the stopping of cars at all street in- 
tersections. 

Motor Trucks to Supplement Inter- 
urbans. — The Toledo & Indiana Rail- 
road, Toledo, Ohio, will supplement its 
interurban freight service with a motor 
truck system reaching towns in the 
vicinity of Bryan, Ohio, according to 
plans recently announced. Motor trucks 
will connect at Bryan with the com- 
pany's freight car which leaves the 
Toledo terminal daily at 4 p.m. Goods 
consigned to Montpelier, Edgerton and 
other towns vdll be delivered at the 
♦Bryan rate plus a charge of 20 cents 
for each hundred pounds. 

Jitney Settlement Up to Voters. — The 

City Council of Salem, Mass., has au- 



thorized a special municipal election to 
be held on Jan. 27 to determine whether 
the Council's recent action in revoking 
jitney licenses shall be rescinded. A 
petition asking the Council to recon- 
sider the revocation of jitney licenses 
was signed by 400 persons. The opera- 
tors plan to resume service under the 
clause of the city charter which pro- 
vides for the automatic suspension of 
any measure against which is directed 
a measure signed by a specified number 
of voters. 

Protest Against Increased Fare. — 
The borough of Ambridge, Pa., and the 
citizens of Baden, Pa., near Pittsburgh, 
Pa., have filed with the Public Service 
Commission of Pennsylvania complaints 
against the increased fares of the 
Beaver Valley Traction Company, 
which went into effect on Dec. 1. The 
Ambridge complaint, in addition to ob- 
jecting to the fares, asks the commis- 
sion to compel the railway to furnish 
excess fare certificates. The Baden 
complaint opposes the discontinuance 
of the two-minute service between 
Baden and Ambridge, and asks that 
the company establish a ten-minute 
service during the rush hours. 

Ten Cents on Iowa Interurban. — Ten- 
cent fares went into effect on Nov. 16 
on Urbandale, Valley Junction and Fort 
Des Moines lines of the Interurban 
Railway, Des Moines, la. This was in 
accordance with a decision of Federal 
Judge Martin J. Wade that the three 
lines are interurbans and subject to 
the minimum interurban fare of 10 
cents. All three lines terminate in 
suburbs of Des Moines. Five-cent fares 
will be collected when the passenger 
boards the cars and an additional 5 
cents when the car reaches the city 
limits. Transfers will be accepted and 
children vdll be compelled to pay only 
one-half fare. 

Skip Stops Go in St. Louis. — The 

Public Service Commission of Missouri 
has ordered the United Railways of St. 
Louis, Mo.," to discontinue the skip 
stop and restore the old stops. The 
United Railways was permitted to use 
the skip stop during the coal shortage 
caused by the miners' strike. The 
Southwestern Regional Coal Committee 
notified the company some 'time ago 
that the emergency was ended and that 
the use of the skip stop was no longer 
necessary as a fuel conservation meas- 
ure. The commissioners announced 
that the company might later make 
application for permission to install a 
pei-manent skip-stop schedule. 

Kansas City Wants City Plan Com- 
mission. — The municipal authorities of 
Kansas City, Mo.) have under considera- 
tion a proposal for the creation of a 
City Plan Commission. By the terms 
of an ordinance already drafted the 
president of the Kansas City Railways 
would be, ex officio, a member of the 
commission, since the sponsors of the 
idea feel that, as the working out of 
the plan depends largely upon the 
solution of the traffic problem the co- 
operation of the railway is essential. 



P. J. Kealy, the company's president, 
has taken an active part in the cam- 
paign for the creation of the commis- 
sion. 

Preliminary Hearings Concluded. — 

The preliminary hearings at Hartford 
on the zone system of fares as in use 
on lines of the Connecticut Company 
have been finished. The witnesses for 
the company have been cross-examined, 
and the Public Service Commission now 
has taken up the consideration of com- 
plaints from different communities re- 
garding locations of zone points and 
similar matters. It is not anticipated 
that these hearings will result in any 
material change in the zone system. 
In fact, there was hardly any opposi- 
tion to the zone system as such, the 
complaints being chiefly because some 
of the car riders have to pay higher 
fares. 

Seven Cents in Chester. — ^On page 
1023 of the issue of the Electric Rail- 
way Journal for Dec. 20 appeared an 
announcement of an 8-cent fare on the 
lines of the Southern Pennsylvania 
Traction Company, Chester, Pa. This 
was an error. The Southern Pennsyl- 
vania Traction Company filed a tariff 
calling for an 8-cent fare effective Oc- 
tober 26. On Oct. 24 the City Com- 
mission of Wilmington, Del, refused 
permission to the Wilmington & Phila- 
delphia Traction Company, which leases 
the Southern Pennsylvania Traction 
Company, the right to increase its fares 
to 8 cents in the city of Wilmington, 
restricting them to 7 cents. Accord- 
ingly, under special permission from 
the Public Service Commission of Penn- 
sylvania, a new tariff was filed effec- 
tive upon less than thirty days' notice 
for a 7-cent fare on the Southern 
Pennsylvania Traction Company's lines 
in order to make the fares uniform 
throughout the system. 

Freight Traffic Increases on Utah 
Line. — The Bamberger Electric Rail- 
road, the general offices of which are at 
Salt Lake City, Utah, is enjoying a 
substantial increase in freight traffic, 
arising out of the securing of joint 
freight rates from and to points on its 
line in connection with the several con- 
necting steam carriers. This arrange- 
ment was consummated with the offi- 
cials of the United States Railroad Ad- 
ministration during last summer. Since 
the rates have been published, the rail- 
road has been able to induce a number 
of industries to locate warehouses and 
factories on its lines, and the result is 
a very rapid development of revenue- 
producing freight traffic. In the com- 
pany's terminals at Ogden and Salt 
Lake City, where freight rates are on a 
parity, industries prefer an electric 
rather than a steam location on ac- 
count of the closer proximity to the 
business center, the cleaner service, the 
better and prompter service by means 
of the comparatively small organization 
of the electric railway as compared with 
the complicated red tape of the big 
steam carrier. 



January 3, 1920 



Electric Railway Journal 



79 



Personal Mention 



T. S. Williams Retires 

Former President of Brooklyn Rapid 

Transit Company Connected With 

System for Twenty-five Years 

Col. Timothy S. Williams, formerly 
president of the Brooklyn (N. Y.) Ra- 
pid Transit Company, who has heen 
connected with the company for the 
last year as general manager for the 
receiver, Lindley M. Garrison, an- 
nounced on Dec. 24 that he would retire 
from all connection with the system 
shortly after Jan. 1. Colonel Williams 
tendered his resignation last Novem- 
ber to take effect Dec. 31. He stated 
that he had no definite plans for the 
future. 

Colonel Williams resigned the presi- 
dency of the company soon after Mr. 
Garrison was appointed receiver. He 
is still an official of a number of the 
underlying companies which make up 
the Brooklyn Rapid Transit System. 

Colonel Williams has been connected 
with what is now known as the Brook- 
lyn Rapid Transit System for twenty- 
five years, less a few months. Follow- 
ing his graduation from Cornell Uni- 
versity in the class of 1884, he be- 
came a reporter on the old Commercial 
Advertiser, in New York City. He left 
newspaper work to become private 
secretary to Governor Hill. Governor 
Flower retained him. In 1895, when 
Governor Flower retired from office 
and undertook the reorganization of the 
Long Island Traction Company, Colonel 
Williams was made secretary of the re- 
organization committee. 

Later in the same year he was made 
secretary and treasurer of the Brook- 
lyn Heights Railroad, and when the 
Brooklyn Rapid Transit Company was 
formed he was made a director and 
secretary and treasurer. In 1900 he 
became vice-president of the corpora- 
tion and its constituent companies and 
in 1911 he succeeded Edwin W. Winter 
as president. 

Colonel Williams has always taken 
an active interest in the affairs of the 
American Electric Railway Association 
and has served on a number of its most 
important committees. He was elected 
fourth vice-president of the association 
in 1914 and gradually moved up, but 
in the spring of 1917 resigned as first 
vice-president, owing to the demands 
upon his time as president of the B. R. 
T. in connection vdth the subway plans 
then under negotiation. In the fall 
of the same year he was elected second 
vice-president of the association, the 
position which he now occupies. Col- 
onel Williams' policy in regard to pub- 
licity has always been a broad one. He 
has been popular with newspaper men, 
and the Electric Railway Journal 
has benefited by this policy in that it 



has had easy access to information re- 
lating to improvements on the property. 
The most important event of Colonel 
Williams' administration has been, of 
course, the development of the subway 
system in Greater New York by the 
New York Municipal Railway Corpora- 
tion, a subsidiary of the B. R. T., under 
the dual subway contract. This con- 
struction will stand as a monument to 
Colonel Williams' administrative ability. 



L. H. Bean, formerly manager of the 
properties of Stone & Webster at Ta- 
coma. Wash., has sailed for Genoa at 
the head of a party which will conduct 
a general engineering investigation in 

Belgium, France and Switzerland and 

other European countries. 

Edward H. Sharpe, who has been 

general agent for the Pacific Electric 
Railway, Los Angeles, Cal., at San 
Bernardino for the past two years, has 
been appointed assistant, to O. H. 
Smith, general passenger agent of the 
company. Mr. Sharpe's headquarters 
will be in Los Angeles. 

J. M. Johnson, who resigned last May 
as general superintendent of the Ithaca 
(N. Y.) Traction Corporation, on Dec. 
1 assumed the duties of superintendent 
of traffic of the Trenton & Mercer 
County Traction Corporation, Trenton, 
N. J. Mr. Johnson entered the electric 
railway field in 1909 as superintendent 
of transportation of the South Shore 
Traction Company, Long Island City, 
N. Y. He resigned three years later to 
become general superintendent of the 
Manhattan Bridge Three-Cent Line, 
Brooklyn, N. Y., remaining with the 
company for five years. In 1917 he 
joined Ford, Bacon & Davis, New York, 
as a valuation engineer, resigning the 
following year to become general super- 
intendent of the Ithaca Traction Cor- 
poration. 




Ralph L. Shainwald, president of the 
Standard Paint Company, New York, 
N. Y., died on Dec. 10. 

Frank R. Grover, a Chicago attorney, 
died on Dec. 10 at his home in Evans- 
ton, 111. Mr. Grover was one of the 
promoters of the Chicago, North Shore 
& Milwaukee Railroad. 

Henry R. Rea, president of the Mor- 
ris County Traction Company, Morris- 
town, N. J., died on Dec. 19. Mr. Rea 
had been active for many years in 
business circles in Pittsburgh, Pa. 



K. M. Watson, general claim agent 
of the Northern Texas Traction Com- 
pany and the Tarrant County Trac- 
tion Company, Fort Worth, Tex., is 
dead. Mr. Watson was a former pres- 
ident of the Texas State Railway Claim 
Agents' Association, and had been prom- 
inent in electric railway circles in 
Texas for years. 

A. L. Dewey, auditor of disburse- 
ments of the Chicago (111.) Surface 
Lines, died on Nov. 10. Mr. Dewey had 
been with the electric railway com- 
panies in Chicago for many years. 
Prior to the merger of the properties 
in 1914 he was general auditor of the 
Chicago City Railway. 

Benjamin Phillips, assistant superin- 
tendent of transportation of the Chi- 
cago (111.) Surface Lines, died suddenly 
on Nov. 22. Mr. Phillips had served as 
assistant traffic manager since the mer- 
ger of the companies in 1914. Prior to 
that time he was general superinten- 
dent of the Chicago Railways. He en- 
tered the service in 1884 as a conductor. 

Stephen P. Brown, civil engineer, was 
drowned on Dec. 6 when he broke 
through the ice on Sebec Lake, Dover, 
Me. Mr. Brown recently resigned as 
vice-president of the Ford, Bacon & 
Davis Corporation. He aided in the con- 
struction of the Pennsylvania Terminal 
at New York and had charge of con- 
structing the Canadian Northern Rail- 
road Terminal in Montreal. 

John F. Barker, formerly president 
of the Gilbert & Barker Manufacturing 
Company, Springfield, Mo., died of 
heart failure on Nov. 21. He was 
largely instrumental in the forming of 
the Gilbert & Barker Manufacturing 
Company in 1865, having previously 
been employed at the water shop of 
the United States Armory in Spring- 
field. On the organization of the com- 
pany mentioned he was elected treas- 
urer and manager, a position which he 
occupied until 1884, when he was elect- 
ed president. This office he held until 
his retirement in 1911. For forty-six 
years he was the dominating person- 
ality of the business and for this entire 
time he enjoyed the affection and es- 
teem of his associates and employees. 

Henry W. Hodge, one of the foremost 
American engineers in bridge building, 
died suddenly on Dec. 22 at his home 
in New York City after a six-weeks ill- 
ness. Mr. Hodge was born in Wash- 
ington, D. C, fifty-four years ago. He 
supervised the construction of some of 
the largest buildings in New York City, 
including the Woolworth Building. 
Among the bridges which he designed 
are that of the Great Northern Railroad 
over the Mississippi River and that of 
the Chicago, Rock Island & Pacific Rail- 
road at Duluth. In 1916 he was ap- 
pointed a member of the Public Service 
Commission for the First District, re- 
signing the follo%ving year to become 
Director of Military Railroads and 
Bridges with the American Expedition- 
ary Forces. He was consulting engineei* 
for the Brookljm Rapid Transit Com- 
pany and many other corporations. 



Manufadures and the Markets 

DISCUSSIONS OF MARKET AND TRADE CONDITIONS FOR THE MANUFACTURER. 

SALESMAN AND PURCHASING AGENT 
ROLLING STOCK PURCHASES BUSINESS ANNOUNCEMENTS 



Sales of Railway Supplies During 1919 Largely 
for Maintenance 

Rolling Stock Sales, Particularly of Safety Cars, Increased While 

Rails and Track Accessories Showed Less Activity — 

Automatic Substation Business Heavy 



Nineteen-nineteen has past and with 
it a record of good business for some 
manufacturers and poor business for 
others. Despite the large number of 
orders placed for devices to increase 
economy, the volume of business placed 
by the electric railways during 1919 
was slightly less than that placed dur- 
ing 1918. The great majority of sales 
were made on a maintenance basis, the 
railways with few exceptions failing to 
make purchases in large amounts even 
after the prices of certain commodities 
had fallen 5 to 10 per cent. From 
time to time, certain lines did excep- 
tionally well and booked a large amount 
of business. In almost every case, 
however, devices were ordered which 
would permit of savings to the rail- 
ways. 

All kinds of power saving appara- 
tus, pneumatic door-control equipment, 
one-man car devices, and accessories 
have had a greater degree of success 
than the majority of lines sold. 

More Cars Purchased Than 
IN 1918 
Wherever possible, railways placed 
orders for rolling stock although the 
extent to which they were handicapped 
by lack of finances is readily shown by 
a comparison of cars purchased dur- 
ing 1919 with the two previous years. 
Total purchases of cars of all kinds 
for 1919 amounted to 2,444 or just 
twenty-five cars more than the number 
of cars purchased in 1918, which was 
2,419. From a financial standpoint 
the year just closed was much better 
than the previous ones on account of 
the higher prices prevailing during 
1919 for rolling stock. The total num- 
ber of cars built in 1917 was 2,455 
which indicates that car building has 
neither gained nor lost during the past 
three years. Because of the fact that a 
numbjer of large sales were brought 
about in specific localities during the 
war, it would appear that the busi- 
ness since the war has increased suifi- 
ciently to keep pace with rolling stock 
orders placed during the war. Dur- 
^ ing 1919, 165 cars were built in rail- 
way shops as compared with eighty- 
nine cars built in company shops in 
1918 and with 281 built in this manner 
in 1917. 

That the one-man car has set a new 
high record for sales, is readily shown 
by the number of safety cars purchased 



this year. Of this type 1,383 were pur- 
chased, an increase of more than 100 
per cent over the number ordered in 
1918. In addition, the 1,383 safety 
cars placed this year represent 56 
per cent of the . total number of 
cars for the year. This is the first 
year that the number of one-man cars 
has ever exceeded the number of two- 
man cars ordered. In 1918, 644 safety 
cars were ordered as compared with 
1,074 two-man cars, while during 1919 
the tables have been reversed, 1,383 
safety cars being purchased as against 
897 two-man cars. Of this number 635 
were motor-passenger city cars and 
262 were interurban cars. The in- 
crease in sales of safety cars has been 
phenomenal. In 1917, 280 were or- 
dered, in 1918, 644 were purchased and 
in 1919 contracts have been let for 
1,383 such cars. 

Few freight cars were built during 
the year, the total service cars in all 
amounting to only thirty-one cars. 
Some few freight cars were probably 
built in company shops, but the total 
amount was but a small percentage of 
the number of freight, gondola or flat 
cars purchased in previous years. 

Car Deliveries Improve 
Deliveries throughout the year on 
rolling stock have been exceptional. 
During the early part of the year de- 
liveries were four to five months at 
the longest, while as the year pro- 
gressed they gradually grew better, 
until in the late fall safety cars in 
small quantities were being quoted at 
a month to six weeks for partial de- 
livery and two to three months for the 
remainder. Orders for 200 or more 
safety cars were three to four months. 
Deliveries on the heavier cars ranged 
from three to four months, although 
some orders were completed in less 
time. On account of the numerous or- 
ders being received, car manufacturers 
decided to build safety cars on a large 
scale, and accordingly several of them 
built from one to three hundred safety 
cars to be held in stock in case pur- 
chasers did not appear before the cars 
were completed. This accounted for 
the excellent deliveries that were ob- 
tained during the last quarter. 

During 1918, car builders were 
rushed with wkr work and could not 
give the attention to car orders that 
was possible during peace time. Much 



the same plan was followed in 1919. 
Cars were turned out along standard 
lines and any companies requiring spe- 
cial features in cars were notified that 
the delivery would be lengthened con- 
siderably. The companies which wanted 
cars wanted them badly with the result 
that they took whatever they could get. 
Owing to the relative high price of 
newly built cars, railwiay managiers 
have at different times scoured the 
country in an effort to pick up enough 
used cars to serve their purposes. In 
nearly all cases, however, any com- 
pany which was fortunate enough to 
have a few extra cars which could be 
repaired or rebuilt, busied themselves 
by getting the cars in shape and put- 
ting them out to help decrease head- 
way and give better service. 

Rails Have Light Sales 

Reconstructed and extended track 
mileage during 1919 was less than dur- 
ing 1918 and offered a poor field for sales. 

Approximately 150 miles of new track 
or less than one-half of 1 per cent was 
added to the total track mileage. In 
the U. S. alone, about 390 miles of elec- 
tric railway mileage was rebuilt. Of 
this mileage most of the work was in 
short sections. Two hundred and 
eighty-seven miles of steam lines were 
electrified. 

At the beginning of 1919 there was 
little space available for rolling rails 
but as the year progressed the mills 
sent out notices to the effect that they 
could take on additional rollings. The 
space, however, was not contracted for. 
Rollings which up to that time had 
been comparatively light dropped off 
more and more, and throughout a fairly 
dull summer and quiet autumn excel- 
lent deliveries could be had on rails in 
at least two mills. One mill was pre- 
pared to roll immediately and to ship 
within two weeks of the receipt of the 
order provided it was only moderately 
large. Rollings for 1919 have been very 
small and although they may in the 
aggregate amount to more than those 
of 1918, it must be remembered that 
the output in 1918 was smaller than 
has ever been known in the electric 
railway industry. 

Conditions during the winter were 
not nearly so severe as for the year 
before with the result that the demand 
for snow and ice removal equipment, 
trolley wire, sleet cutters, brushes and 
brooms and other equipment was not 
so good as usual. After a fairly mild 
winter it was not surprising that few 
orders were placed during the spring 
and summer season for snow plows and 
sweepers. 

Purchasing during 1919, which for 
the most part has been strictly for 



L 



January 3, 1920 



Electric Railway Journal 



81 



maintenance needs, was smaller than 
usual. Of course, some railways have 
received fare increases either by an 
increased flat fare, zone fare or by 
use of transfers, and purchases from 
these companies have been of the usual 
pre-war amounts. 

Rail grinders have been active with 
sales estimated as being larger than in 
1918. Fare boxes and fare registers 
also have had a fair amount of busi- 
ness and were slightly ahead of the 
previous year's sales. Field coils, com- 
mutators and controller parts had a 
regular demand and sales in these, and 
other copper specialties were almost 
normal. Armature and coil winding 
machines failed to sell readily early in 
the year but later picked up and sold 
much better toward the end of the 
year although total sales were not far 
ahead of those of 1918. Wire products 
were steady with a slightly lessened 
■ demand for steel guys and cable. Cop- 
per trolley wire and transmission fell 
off in sales, due largely to the small 
amount of extensions and new work 
done. Demands for composition brass 
and copper wire have been greater than 
during 1918, although perhaps not to 
a large degree. 

Almost all accessories used on safety 
cars have experienced good sales and 
the majority show sales ahead of those 
for last year. Air-brakes and safety 
control apparatus including door and 
step mechanism have had a very good 
season. 

Hand Brake Sales Good 

Hand brake sales for the year were 
better than those of 1918. Car roof- 
ing was fairly active. Curtain fix- 
tures had a steady demand. Both these 
products sold well in the automotive in- 
dustry, however. Carbon brushes ex- 
perienced good sales. 

Sales of track hardware, tampers, 
picks, sledges, hammers, bars, chisels 
and mauls were actually but 5 to 10 
per cent less than in 1918. Increased 
prices and lack of track construction 
accounts for this decrease. Conditions 
in this line are improving and the fu- 
ture looks promising. Steel tie and 
fabricated track sales are about equal 
to those of last year. Pneumatic tie 
tampers have had light sales although 
they have developed new business in 
bonding rails and for tearing up as- 
phalt between tracks. 

Lifting jacks sold well although most 
stocks were placed through jobbers 
making it difficult to trace all sales. 
Brakeshoes have sold in fair 
volume. This was also true of steel 
axles. Recent sales show improve- 
ment but buying is spasmodic. 

Transformer demands have been 
steady. Railway motors, however, have 
not been as active as in pre-war years. 
Fewer heavy cars, which take two to 
four motors, were built last year than 
for the past three years. Motors for 
safety cars are smaller and cost con- 
siderably less than those for the heavy 
two-man cars, which partly accounts 
for the reduced total amount received 
from motor sales. Automatic substa- 



tions had remarkable sales, the General 
Electric Company reporting nineteen 
installations totalling 11,650 kw. In 
addition the company has a total of 
11,800 kw. on order, which will be 
placed on seventeen different railways. 
Installations by this company in 1918 
amounted to only 4,600 kw. which 
shows an increase in last year's busi- 
ness of more than 200 per cent. 

Cedar pole sales improved slightly 
although a number of reports show a 
variance. Chestnut pole sales do not 
show up so well and are below a nor- 
mal pre-war year. Pole and wood tie 
preservatives have sold slightly under 
last year's mark. The demand for 
paint and varnishes was less than in 
1918. 

Railways which held scrap until the 
third or fourth quarter had no difficulty 
in disposing of it at good prices. Re- 
laying rails were in demand and good 
prices were obtained on all used ma- 
terial. 

Prices Mount Higher 

Regardless of demand, prices of 
practically all materials, railway sup- 
plies and equipment increased at least 
once during the year. Some items, such 
as cotton cord, insulated wire, register 
cord, coils and insulation advanced a 
number of times. During the fourth 
quarter bronze castings such as are 
used in line material dropped 5 per 
cent while malleables were again 
marked up, this time the increase 
amounting to 7i per cent. 

Labor Not Dependable 
In addition to a shortage of certain 
raw materials, labor has been less de- 
pendable than ever before. Malleables 
have been far behind on deliveries, ow- 
ing to a shortage of unskilled labor. 
Much malleable capacity is now idle 
which would be available if the neces- 
sary labor could be secured. Higher 
wages are being paid everywhere, yet 
production has not been increased. 
Working days have been cut down to 
eight hours, which has had no effect 
other than to materially increase wages 
on account of overtime. 

Railway credits have been main- 
tained fairly well during the past year. 
Fewer roads than ever took advantage 
of cash discounts and central stations 
and holding companies frequently took 
thirty to sixty days longer before set- 
tlements were made. On the whole, 
however, collections have been satis- 
factory. 

Better Times Ahead 

With reduced operating expenses re- 
sulting from the use of safety cars 
and financial relief which, to a consid- 
erable extent, will be realized by fare 
increases and transfer charges which 
the general public has been edu- 
cated to expect, the prospects for the 
coming year are brighter than they 
have been for the past three years. 
Although the number of cars ordered 
has been approximately the same dur- 
ing 1917, 1918, and 1919 the increased 
cost of the cars in the past two years 



has resulted in a greater expenditure 
for rolling stock. It is believed that 
during the past three years the low 
point in sales of electric railway sup- 
plies has been reached and that 1920 
will show a rising curve. 



Rolling Stock 



La Crosse City Railway, Winona, 
Minn., expects to purchase eight safety 
cars this year. 

Brockton & Plymouth Street Railway, 
Plymouth, Mass., expects to purchase 
two safety cars this year. 

Lincoln (111.) Municipal Street Rail- 
way expects during the year to pur- 
chase one open or summer car. 

Charles City (Iowa) Western Rail- 
way will be in the market during the 
year for one electric locomotive. 

New York & Stamford Railway, Port 
Chester, N. Y., expects to purchase 
seven safety cars during the year. 

Westchester Street Railway, White 
Plains, N. Y., expects to purchase 
several safety cars during the year. 

Gadsden, Bellevue & Lookout Moun- 
tain Railway, Gadsden, Ala., expects to 
purchase two closed passenger cars this 
year. 

United Railways, St. Louis, Mo., 

expects to purchase 100 large cars of 
the Peter Witt type and also twenty 
safety cars. 

Winona (Ind.) Interurban Railway 

expects to purchase a number of freight 
trail cars, the number depending upon 
price and delivery. 

San Francisco, Napa & Calistoga 
Railway, Napa, Cal., will be in the mar- 
ket for one new 50-ton electric freight 
locomotive during the year. 

Capitol Traction Company, and Wash- 
ington & Maryland Railway, Washing- 
ton, D. C, expect during T320 to buy 
one 7,500-kw. turbine generator set 
with accessories. 

Interstate Public Service Company, 
Indianapolis, Ind., expects to purchase 
five double-truck flat cars, one motor 
ditcher and shovel car, one motor serv- 
ice car and three flat cars. 



Recent Incorporations 



Cleburne, Tex. — A company is being 
organized at Cleburne, Tex., for the 
purpose of building an electric interur- 
ban line from Cleburne to Glen Rose, 
thence to the West Texas oil fields, a 
distance of about 50 miles. Funds 
for preliminary surveys and organiza- 
tion work have been subscribed. 

Pawhuska Railway & Public Service 
Company, Pawhuska, Okla. — The Paw- 
huska Railway & Public Service Com- 
pany has been organized with a capital 
stock of $20,000. The company has a 
franchise for a car line within the city 
limits of Pawhuska. The incorpora- 
tors are: A. W. Hurley, Charles B. 
Peters and Vernon Whiting, all of 
Pawhuska. 



82 



Electric Railway Journal 



Vol. 55, No. 1 



Fort Worth & Mineral Wells Rail- 
way, Mineral Wells, Tex. — Two allied 
companies have been organized for 
the purpose of constructing an inter- 
urban electric railway between Fort 
Worth and Mineral Wells, about 50 
miles, and between Mineral Wells and 
Breckenridge, about 55 miles, with 
branch lines from the latter town to 
Eastland, Ranger and Cisco. One of 
these companies is the Fort Worth & 
Mineral Wells Railway and the other 
is the Fort Worth, Mineral Wells & 
Breckenridge Railway. H. E. Robin- 
son of Fort Worth is president of both 
companies. Surveys have been made 
and a right-of-way obtained for the 
proposed lines. 



Franchises 



Seattle (Wash.) Municipal Railway. 

— Plans for a system of subways and 
elevated lines for the business section 
of Seattle were submitted on Nov. 15 to 
Mayor Fitzgerald by Thomas F. Mur- 
phine, superintendent of the Seattle 
Municipal Street Railway. Mr. Mur- 
phine contends that the rapid growth 
of Seattle has made it necessary to 
find means without delay for handling 
traffic in the dovsmtown district. Plans 
proposed involve expenditure of more 
than $5,000,000. 

Gainesville & Sherman Traction Com- 
pany, Gainesville, Tex. — The Gaines- 
ville & Sherman Traction company has 
submitted propositions to the citizens 
of Gainesville, Whitesboro and Sher- 
man looking to the construction of an 
interurban electric railway between 
Gainesville and Sherman, about 30 
miles. From these three tov^Tis a total 
cash bonus of $175,000 and stock sub- 
scriptions to the amount of $275,000 
are asked. George M. Easley of Dallas 
is president and Burt C. Blanton of 
Dallas is general manager of the 
company. 



Track and Roadway 



Sand Springs Railway, Tulsa, Okla. — 

The Sand Springs Railway will soon 
begin the construction of a system of 
interurban lines that will radiate from 
Tulsa in several directions. One line 
will traverse the coal regions to the 
east and southeast of Tulsa and may 
extend to Broken Bow, a distance of 
about 20 miles. Another will be built 
north to Pawhuska. 

Dallas (Tex.) Railway. — The Dallas 
Railway has executed a contract with 
property owners of the Mount Auburn 
addition to construct and operate a car 
line in this addition within six months. 
The property ovsmers agree to raise a 
cash bonus of $45,000. The Dallas 
Standard Traction Company, which now 
operates a shuttle car line connecting 
with the line of the Dallas Railway, 
will be discontinued when the new serv- 
ice is established. 

Dallas (Tex.) Railway.— The Dallas 
Railway has made requisition on the 



city for approval of the proposal to 
spend $140,000 in laying a double track 
on Masten Street from McKinney 
Street to Pacific Avenue, and the requi- 
sition has been approved. This line 
will divert the North Dallas lines that 
now run down McKinney Avenue to 
Lamar Street and will bring them di- 
rectly into the business district via 
the most direct route, and is the im- 
provement suggested by Mayor Wozen- 
craft some time ago. 



Power Houses, Shops 
and Buildings 



Moncton Tramways, Electricity & 
Gas Company, Moncton, N. B. — The car 

house and machine shops of the Moncton 
Tramways, Electricity & Gas Company 
were destroyed by fire on Dec. 25. The 
damage is estimated at $50,000. 

Wheeling (W. Va.) Traction Com- 
pany. — The Wheeling Traction Com- 
pany is planning to build a carhouse 
and repair shop in Warwood, W. Va. 
The present carhouse at Wheeling, will 
not be dispensed with but will be used 
for the Ohio side cars while the new 
structure in Warwood will be used for 
all cars on the West Virginia side of 
the river. 



Trade Notes 



Haynes L. Everest has just been ap- 
pointed general sales manager of the 
Hart & Hegeman Manufacturing Com- 
pany, Hartford, Conn. Arthur E. Lu- 
beck succeeds Mr. Everest as Western 
sales manager at Chicago. Mr. Lubeck 
was formerly assistant Western sales 
manager and for many years has been 
in the electrical business in the Middle 
West. 

W. M. Pegram, New York Central 
lines at Columbus, Ohio, has recently 
been granted a patent on a device for 
holding abutting rail ends in alignment 
without the use of bolts. The rail ends 
are supported by the head with two 
angle bars which fit into a base plate. 
Due to the beveled surface of this base 
plate there is a wedge-like action be- 
tween the toes of the angle bars and 
their seat so that the pressure of a 
wheel or loaded car in passing over the 
joint tends to tighten it. 

Westinghouse Electric & Manufac- 
turing Company, East Pittsburgh, Pa., 

announces that Edward D. Kilburn, who 
since March 15, 1917, has been New 
York district manager of the company, 
was recently elected vice-president and 
general manager of the Westinghouse 
Electric International Company. Mr. 
Kilburn was graduated from Cornell 
University, and immediately after 
leaving college he entered the employ 
of the Westinghouse Electric & Manu- 
facturing Company, for a number of 
years being located at the Syracuse of- 
fice of the company. Subsequently, he 
was transferred to the Westinghouse 
Machine Company with headquarters at 



New Haven, Conn. In 1915 he returned 
to the electric company as manager of 
the power division of the New York 
office. A year later he was also made 
manager of the railway and lighting- 
divisions, subsequently becoming man- 
ager of the office. 

Westinghouse Air Brake Company, 
Pittsburgh, Pa., in order to provide fa- 
cilities adequate to handle the increas- 
ing export business and to develop its 
foreign trade to a greater extent than 
has been heretofore possible, has or- 
ganized an export department with 
headquarters in the Westinghouse 
Building, Pittsburgh, Pa. Active op- 
erations will commence Jan. 1, with 
E. A. Craig as export manager. Mr. 
Craig has been associated vdth the 
company for thirty-two years. In 1905 
he was appointed as auditor and as- 
sistant secretary and since 1906 has 
been Southeastern manager. This de- 
partment will be represented in the 
New York office by W. G. Kaylor and 
in South America by R. M. Gates. The 
Westinghouse Air Brake Company con- 
trols the following foreign companies: 
The Compagnie des Freins Westing- 
house, Sevran, France; the Compagnia 
Italiana Westinghouse dei Freni, Turin, 
Italy; the Westinghouse Brake Com- 
pany of Australasia, Ltd., Concord 
West, New South Wales, Australia; 
the Westinghouse Eisenbahn Bremsen 
Gesellschaft, Hanover, Germany; the 
Societe Anonyme Westinghouse, Petro- 
grad, Russia; and the Westinghouse 
Brake Company, Ltd., of London, rep- 
resented in China by Jardine, Ma- 
theson & Company, Ltd., Shanghai; in 
Denmark and Sweden by Frantz Ailing, 
Puggaardsgade 4, Copenhagen; in Hol- 
land by Vaillant and Sluyterman, Noor- 
deinde 18a, The Hague; in Japan by 
Sale & Frazar, Ltd., Yaesu Cho, To- 
kyo; in Norway by "Vulkan," Jem- 
stoberi and mek. Vaerksted, Christi- 
ania, and in South Africa by Bellamy 
& Lambie, 621 Consolidated Buildings, 
Johannesburg. 



New Advertising Literature 



Electro Dynamic Company, Bayonne, 

N, J.: Bulletin No. 100, covering its 
type "S" interpole direct-current motor. 
Roller-Smith Company, New York, 
N. Y.: Bulletin No. 100, covering its 
"S. S." types electrical instruments for 
signal system testing. Direct-current 
and alternating-current portable am- 
meters and direct-reading portable 
ohmmeters are shovra and spoken of in 
this bulletin. 

General Electric Company, Schenec- 
tady, N. Y.: Bulletin No. 68,420, super- 
seding Nos. 68,402-2 and 68,405. It 
illustrates and describes CR 4,015 in- 
closed automatic starters for small 
direct-current motors. 

Wagner Electric Manufacturing Com- 
pany, St. Louis, Mo.: Bulletin No. 119 
on its distribution type transformers, 
also Bulletin 120, a twenty-page pub- 
lication, the "Manual of Electrical 
Testing." 




Railway 
nal 



Consolidation of Street Railway Journal and Electric Railway Review 



Volume 55 



New York, Saturday, January 10; 1920 



Number 2 



Reserves Should Be n,«H S^'^^ ^ 

Provided For Depreciation ]!A"-^ s'^^/' 

WE ARE glad that the association passed a 'Resolu- 
tion at the Cleveland convention indorsing the 
principle that railway companies should provide reserves 
to care for depreciation. The resolution was modified 
slightly from the form in which it was originally 
drafted and presented to the convention, but in essence 
the thought was not changed that proper electric rail- 
way accounting requires this provision to keep the 
capital value of the property intact whatever may have 
been the theory and practice of years gone by. The 
formidable list of decisions by commissions and courts 
quoted in the able paper of Mr. Fish proved conclusively 
that the authorities hold public utilities responsible in 
practically all cases where a lessening of property values 
comes from neglect to provide such funds. Hence 
utility managements have no choice in the matter if they 
are to preserve intact the equities of the security holders 
in their respective properties. Of course most com- 
panies now have such renewal funds but the passage 
of the resolution will stimulate a review by each com- 
pany of the adequacy of the amounts charged in its case. 
It may seem strange to many that electric railway 
companies in the early days disregarded so generally 
what is now recognized as an elemental matter in cor- 
rect public utility accounting. We must remember, how- 
ever, two facts. The first of these is that in the early 
history of electric railroading the life of equipment was 
greatly over-estimated, so that its annual depreciation 
was correspondingly under-estimated. The second was 
that in those days of rapidly improving equipment the 
traffic increased so rapidly as to give the impression 
that the value of the franchise owned by the company 
constantly increased in amounts which would counter- 
balance possible losses through depreciation of the 
physical property. The imperfections in this reasoning 
are apparent now, but many other things have been 
learned since those days. One of these is that a fran- 
chise to operate cars on a public street, when carrying 
with it obligations to pave and perhaps sprinkle the 
streets and to operate a certain schedule of cars at a 
limited rate of fare, will quite as often be found to be 
a liability as an asset. 



Power Engineers Have Laid 
Out a Real Year's Work 

THE committee on power generation of the Engi- 
neering Association met in New York City this 
week and mapped out a program full of promise and 
of hard work for several men. The plan may be 
summarized thus: The reports which will be prepared, 
only three in number, will be based on first-hand, 
up-to-the-minute data. They will show how electrical 
energy can best be bought or sold, what other fuels 
promise substantial savings over lump coal, and what 
are reasonable costs of producing energy in 1920 as 



compared with a few years preceding in power plants 
of various sizes. Each of these subjects will be han- 
dled by a competent sub-committee which will be 
expected promptly to "deliver the goods." 

Whether electric railways produce or purchase the 
energy required to propel their cars, their managers 
as well as their engineers must keep posted on power- 
plant development. In the former case it is obvious 
that failure to realize what is going on will result in 
rapid progress toward the rear of the procession. On 
the other hand, the railway man as a purchaser cannot 
make a good bargain unless he knows approximately 
what it costs to produce the energy which he buys or 
proposes to buy; and in addition he cannot afford to 
buy energy from a producer who is behind the times. 
For this reason the committee on power generation has 
an important and continuing function to perform. This 
is as true this year as ever. And if the discussion 
at the 1920 convention is as interesting as that at 
the first committee meeting, the success of the power 
session of the Engineering Association's annual meet- 
ing is assured. 



A Bigger Job 

For the Commissions 

DURING the course of the hearings before the Fed- 
eral Electric Railways Commission at Washington 
last summer much was said pro and con relative to the 
efficacy and value of state regulative commissions. One 
could not always judge from what was being said 
whether the speaker belonged to the group represent- 
ing the public utilities or to one of the other groups 
before the commission. As a matter of fact the wit- 
nesses drawn from the group representing the public 
who objected to state regulation of public utilities were 
usually more outspoken in voicing their objections than 
were the objectors in the utility group. This state of 
affairs leads one to question as to whether the com- 
missions as a whole are making the most of their op- 
portunities. 

Originally, the demand for state regulation came 
from the public and not from the utilities. The ex- 
pressed idea back of the demand was that some regu- 
lative body was necessary to insure that the patrons of 
public serving companies should receive just treatment. 
But when the state legislatures began the task of cre- 
ating such commissions they found it necessary, in or- 
der to avoid discriminatory and confiscatory legislation, 
to protect the investor in the utility as well as the user 
of the utility. In the early days of commission regu- 
lation, protection of the consumer was the large prob- 
lem with the commissions, while in these latter days 
operating costs have so increased that the tables have 
turned and now it is the investor who needs protection. 
As a result of this change in conditions, the public, or 
at least a noisy part of it, is desirous of doing away 



84 



Electric Railway Journal 



Vol. 55, No. 2 



with state commissions. In discussing this matter with 
the writer recently a prominent member of the staff 
of one of the great state commissions said in substance 
that the commission with which he is connected did not 
dare to grant the rate increases which they sometimes 
felt were justified because the higher rates, if granted, 
would arouse public resentment to such a pitch that the 
commission law would be repealed and that such a re- 
peal would be a real blow to the public utility user and 
to the investor. 

Consideration of this aspect of the situation leads to 
the thought that possibly the commissions are adher- 
ing too strictly to the letter of the law governing their 
action. It would seem that if a public utility commis- 
sion is to do its whole duty, it can not be simply a judge 
or an umpire. Neither can it be a mere board of arbi- 
tration or mediation. It must be all of these things and 
others as well. It must educate the public as well as 
discipline the utility. In addition to rendering a fair 
and impartial decision on a petition it might be well 
worth while if it took pains to see that the public had 
placed before it the full facts upon which the decision 
was based. That commissions can do much in the way 
of influencing public relations has been demonstrated 
by the Maine commission in Portland and other Maine 
cities. Some of the educational work of this commis- 
sion in connection with the adoption of the zone fare 
system in Portland was described in our annual con- 
vention issue. 



the most popular and economical carrier of the people 
in most places most of the time, if only given a fair 
deal as against other forms of transportation. 



Asking for a 

Trolley System in 1919 

YES, astonished reader, it's a fact! People are still 
asking for trolley cars in preference to any other 
mode of transit. The name of the town is a secret, 
but we'll tell you that it has about 25,000 people and 
grew to that dimension only within the last five years 
or after the building of electric railways had ceased 
to be a popular outdoor sport. Of course, you will be 
interested in some of the terms that the community is 
prepared to offer. 

We'll just mention two. First, no paving taxes will 
be demanded; second, the character of service, such as 
headways, are to be free of those restrictions that can 
become so unreasonable with the years. Strange, isn't 
it, how fair-minded a community can be when the elec- 
tric railway has not yet literally rooted itself in the 
ground and can't get away? Perhaps the technical 
reader will wonder why the ubiquitous jitney or the 
gaudy bus isn't filling the breach. The jitney is there 
all right at 25 cents per ride. As for buses, the com- 
munity knows that it cannot expect well-lighted, prop- 
erly-heated, and smooth-riding vehicles of that kind for 
the fare given by electric railways. Therefore, it has 
no hankering for a city service with buses. Very frankly 
it asks either for the electric railway or for the track- 
less trolley which may be likened to an electric railway 
in the making. 

What a fine thing it would be if we could send to this 
town on a pilgrimage of study and penitence the repre- 
sentatives of the hundreds of communities that are 
squeezing the last penny in taxes and service regula- 
tions out of their electric railways and permitting the 
harassment of unregulated competition as well. At any 
rate, the spirit and preference manifested by this mu- 
nicipality are certainly encouraging to those of us who 
cannot help believing that the electric railway is still 



The Safety Car Promises to 
Be the Car of the Future 

THAT rapid strides have been made in the adoption 
of the one-man safety car is apparent to anyone 
who studies the tables on rolling stock published in our 
statistical issue of last week. Another striking fact, 
developed by the tables, is that the lowest level in car 
orders since 1907 has passed, due principally to the 
noteworthy record of the one-man safety car. The 
figures for 1919 showed not only an increase over the 
previous year of 115 per cent in the number of safety 
cars ordered, but also that 272 more cars of this type 
were ordered during this one year than the combined 
total for the past three years. A 100 per cent increase 
is also found in the number of companies purchasing 
this type of car. A compa,rison with 1917 showed a 
400 per cent increase in the number of cars and a gain 
of 127 per cent in the number of companies. As to the 
outlook for 1920, forty-eight companies, or slightly more 
than 5 per cent of those in the country, have already 
reported that they were planning to purchase 748 cars, 
of which 598 are urban motor cars. Of the forty-eight 
companies ordering cars, twenty-six or 54 per cent are 
planning for 181 safety cars, and of those ordering 
two-man cars three companies will take 96 per cent 
of the total 417 cars. 

We feel that from year to year the percentage of 
the urban companies ordering safety cars as well as the 
percentage of urban motor cars for surface lines 
ordered will continue to increase, due principally to the 
greater utilization of this type of car on the larger 
properties. It is only a matter of educating the public, 
and this ought not to take more than five years, to 
judge from the time required by the prepayment car to 
meet with general adoption. Based on this precedent, 
in 1923, the majority type of cars in most of our urban 
centers will be the safety car. 



A Reasonable Platform for 
Employer and Employee 

AT THE Cleveland meeting of Thursday Edwin Gruhl 
^ presented a scholarly but not academic paper on 
labor contracts. It is reprinted in full elsewhere in 
this issue. Mr. Gruhl is associated with a company 
that has endeavored constantly to get the viewpoint 
of its employees. This was illustrated in the account 
of the activities of the Milwaukee Electric Railway 
& Light Co. on behalf of its workers given in the 
Sept, 9, 1916, issue of the Electric Railway Journal. 

The discussion generally was opposed to the plan 
offered by Mr. Gruhl on two grounds. One of these 
was that the union element as represented by recent 
actions was unwilling to carry out its contracts or to be- 
come financially responsible so that they could be penal- 
ized if they did not fulfill their agreements. The second 
reason advanced in opposition to the unionization of 
properties was that it deprived of liberty of choice those 
men who did not wish to affiliate with the union. 

The history of electric railway companies includes 
experience with a great variety of relationships between 
employers and employees, ranging from no contract at 
all through individual contracts and the open shop, co- 
operative committees and profit-sharing, to the closed 
shop. Judgment on comparative merits of the different 



Januarij 10, 1920 



Electric Railway Journal 



85 



plans employed should be based largely, in our opinion, 
on the results secured by each in the way of efficiency, 
the maintenance of discipline and the extent to which 
the results bring a recognition of the mutual interests 
of the company and the men. If experience with labor 
unions in the past had shown that their influence was 
in the directions just mentioned there would be less ob- 
jection to them. Unfortunately their establishment on 
a property has had more often the opposite effect, 
namely, a weakening of discipline, a deterioration of 
service and a constant demand by the men for higher 
wages without any equivalent in the way of increased 
output or regard for the ability of the company to pay 
more money. 

Mr. Gruhl's paper, as we understand it, is based on 
the thought that any bargain between a company and 
its employees, whether it is an individual contract or a 
collective one, must bring benefit to both parties to be 
satisfactory. Both sides must be willing participants 
in it and they must shoulder their respective burdens 
of responsibility for the outcome. As Mr. Gruhl points 
out, a labor contract is not essentially different from a 
contract to sell merchandise, for in the last analysis 
every commodity can be reduced to a labor equivalent. 
Labor involves so large an element in electric railway 
transportation, the continuity of this service is so essen- 
tial to the communities served, and the present annual 
number of strikes is so considerable, that some way 
must be found for bringing about a mutual under- 
standing of the situation by which both employer and 
employee will benefit. Until labor organizations, of 
whatever form, can demonstrate by their records of 
achievement and good faith that they do bring about 
these beneficial results to both parties, railway man- 
agers will very properly be opposed to the organization 
of their men by any outside agency. 



Will Brooklyn 
Be Car -less? 

IS BROOKLYN to have the experience of Toledo and 
Lawrence, Mass., with complete cessation of electric 
railway operation? This contingency is certainly sug- 
gested by the communication sent by Receiver Garrison 
of the B. R. T. to the Board of Estimate of New York 
on Jan. 7. If the company is allowed to charge 8-cent 
fares until a permanent settlement is reached, it would 
be worth while to continue operation, otherwise not. 
One of the aphorisms of the late Mr. Whitridge is that 
there is no profit in carrying passengers at less than 
cost, and this rule applies as well in Brooklyn as in 
any other city. If a franchise changes from an asset 
to a liability, a receiver, we should think, if authorized 
to do so by the court in charge of the property, would 
have the right to discard the franchise and make such 
other use of the property as the best interests of the 
creditors require. Just what Mr. Garrison, and the 
court under whose order he acts, will do we cannot of 
course say. But a most careful engineering analysis of 
the situation has shown that an 8-cent fare is necessary, 
and if this is the case it is a reasonable question 
as to how long the company is warranted in carrying 
passengers at less than cost. 



Here Is a Job 

For a Statistician 

EVEN the automobile industry is being aroused to 
the fact that "the car of the future will be a light- 
weight car." Advertisements have been appearing re- 
cently in leading daily papers with the above statement 
in large type as an introduction, and unsigned by any 
manufacturer or association. Apparently some one or 
group of individuals in the automobile world, as in the 
electric railway industry, has realized that automobiles, 
as well as electric cars, are carrying a great deal of un- 
necessary weight. 

In the automobile the excess weight results in a 
greater gasoline and oil consumption per mile and a 
greater wear on tires. In our own industry unneces- 
sarily heavy cars result in greater power consumption 
per mile and a greater depreciation in track. Slower 
schedules and consequently poorer service and less 
riding should also not be overlooked. 

The propaganda for the light-weight automobile says : 
"Five million tons — the load of 100,000 freight cars 
stretching from New York to Chicago — the cargo ca- 
pacity of 212 Leviathans, a weight greater than the 
effective tonnage of the combined navies of the United 
States, Great Britain, and France. All this is being 
carried daily as unnecessary dead weight by 6,500,000 
American motor cars and trucks." 

Here is an opportunity for some good statistician to 
figure up how much excess weight is being carried by 
the eighty odd thousand American electric rail- 
ways cars. The result might also be quite impressive. 
Who is the first to volunteer? 



The Spirit of 

Meeting Competition 

ELECTRIC railways have sometimes been accused of 
( sitting back and complaining of their misfortunes 
instead of taking aggressive action to meet competition 
which they faced. One of the thoughts expressed in 
the interview with Mr. Wheelwright which appeared in 
last week's issue is an excellent example of a progressive 
attitude. He discloses the fact that serious thought is 
being given to the use of one-man safety cars on a 22- 
mile interurban line as a means of meeting the competi- 
tion from automobiles which is anticipated with the 
completion of a new paved highway paralleling this line. 
The idea is to replace an hourly service using large cars, 
with a ten or fifteen-minute service using safety cars. 

There are undoubtedly many factors to be considered 
in such a venture and its practicability carries some 
doubt, though it is certainly not impossible. But the 
spirit which is embodied in the idea is most commend- 
able. The company has not waited for the highway to 
be completed and the competition to become a fact be- 
fore it gave heed to the problem but rather has antici- 
pated the probable circumstances by months by definite 
planning and preliminary trials of the proposed use of 
the lighter, smaller equipment. 

The running time on this 22-mile line at present is 
seventy minutes, corresponding to a schedule speed of 
18 m.p.h. If we take into consideration the very much 
better rate of acceleration and retardation of which the 
safety cars are capable as compared to big, heavy in- 
terurban cars, and the fact that the lighter cars will 
slow down much less on the hills, it does not seem im- 
probable that the same running time might be main- 
tained with the safety cars. The question of safety at 
such a speed on open track is a matter for serious con- 
sideration, and there are numerous other operating 
questions which can be answered only by trial. Never- 
theless, there are many economies which would accrue; 
there would result a better load factor in the energy re- 
quired, better voltage regulation and less line loss. The 
principal advantage would be the holding of present 
traffic, or its increase. The idea merits consideration. 



86 



Electric Railway Journal 



Vol 55, No. 2 



A. E. R. A. Holds Mid-Year Meeting 

at Cleveland 

Increased Scale of Dues Was Approved, Resolution on Replacement Reserves 

Was Adopted and Papers on Depreciation and Labor Contracts 

Were Read and Discussed — Banquet Was a Brilliant Affair 



THE ninth annual mid-year meeting and dinner 
of the American Electric Railway Association 
was held at the Hollenden Hotel, Cleveland, Ohio, 
on Jan. 8. It was preceded by a meeting of the 
executive committee, held at the same place on Jan. 7. 
Condensed minutes of this meeting are given elsewhere 
in the present issue. In the absence of President J. 
H. Pardee, the first vice-president, Richard McCulloch, 
presided at all sessions of the meeting, including the 
banquet. More than 300 attendants registered for the 
association sessions and nearly twice that number 
attended the dinner. 

Morning Session 

The meeting was called to order at 10.30 o'clock 
Thursday morning with a short address by the 
chairman. 

Address of Vice-President McCulloch 

In opening his remarks Mr. McCulloch outlined the 
critical situation of the industry and explained the pur- 
pose and plan of the program for the meeting. Follow- 
ing this he said, in part, as follows: 

"I do not agree with some of the critics and pessimists 
who are prophesying that the street railway business is 
a dying industry. I do not believe that any method 
of urban or interurban transportation yet devised or 
which will be devised will ever compare with electric 
transportation on rails for economy or reliability. 
Certain other methods may have their advantages in 
fair weather, or for short hauls, or under other special 
conditions, but for effective transportation 365 days 
during the year, nothing compares with the electric 
street car. The electric railway is a necessity to the 
American city, and it is the duty of each municipality, 
as well as that of each railway company, to see that 
the electric railway functions, and functions under the 
best possible conditions. There would be no difficulty 
in bringing this about if what is popularly known as 
'the street railway problem' were treated in each com- 
munity from a business standpoint, and not regarded 
only as a political shibboleth. 

"To put the problem which is now confronting us 
in its simplest form, the electric railways of this coun- 
try have for a number of years been faced with an 
alarming increase in the prices of labor and material 
without a corresponding increase in revenue. This 
dilemma has become acute during the past two years, 
and receiverships, disintegrated systems and forced 
abandonment of lines as a result have multiplied. With 
the disappearance of net earnings, credit also took 
flight and both railways and municipalities have seen 
the serious situation suddenly develop of an industry 
essential to the community in business, convenience and 
conservation of health, unable to expand with the 
growth of the community, unable to finance its matur- 



ing obligations, and in some cases unable even to meet 
its operating expenses. 

"The industry was in this chaos when the President 
appointed the Federal Electric Railways Commission 
with authority to inquire into the condition of the 
electric railways and recommend such action as was 
found desirable to remedy the situation. The forthcom- 
ing report of the commission will afford some guide 
to those authorities who wish to help in the situation 
and who do not know how, or to those who do not 
at present possess sufficient courage. Miich of our 
trouble, however, comes from those who are using 
electric railway affairs as a political football, and the 
report will be largely lost on them. 

"It is rather remarkable that at the meeting of the 
Federal Electric Railways Commission, municipal 
ovmership was not generally advocated by municipali- 
ties, although the purchase of the electric railway at 
a fair price and its operation by the municipality, 
making up the deficit out of the general taxes, offers 
the simplest and most obvious solution of the present 
quandary. 

"There are three parties who must be considered in 
the adoption of any permanent street railway settle- 
ment — the public, the investor and labor. When the 
problem is approached in a spirit of fair dealing and 
with an open mind, it does not seem that the interests 
of these three parties are irreconcilable, or that fair 
solutions are impossible although these solutions may 
differ in different localities. 

"The public demands such service as it may determine 
upon, and it should be willing to pay the cost of this 
service, such cost including the upkeep of the property 
and a fair return on the investment. 

"The investor demands that his property be main- 
tained in first-class condition, that he be assured the 
return of his money at the expiration of the term of 
his loan and that he receive a fair return on his invest- 
ment. By fair return he means a return equal to what 
he could obtain in other enterprises involving similar 
hazards. 

"Labor demands the best practicable working con- 
ditions, and a rate of pay equal to that in other enter- 
prises requiring similar skill and training. 

"This is not a mathematical problem to which there 
is one fixed solution applicable to every community. 
It is a problem involving many variables and some 
constants which must be assumed. It does seem, 
however, that the basic demands are so simple that 
if they are approached by both sides in good faith 
and with a mutual desire to reach an agreement, solu- 
tions may be found which will again put the industry 
on its feet. 

"Two questions have been selected for discussion 
by this meeting; the necessity of a proper charge for 
depreciation and the matter of labor contracts. They 



January 10, 1920 



Electric Railway Journal 



87 



are of great importance and were primarily suggested 
by the character of the testimony given by some 
witnesses before the Federal Electric Railways Com- 
mission. 

"It should be determined whether or not each rail- 
way company should set aside annually out of its earn- 
ings a sum sufficient to keep the property intact. Many 
companies are already setting aside a depreciation fund, 
but the accumulation of such a fund has been a fruit- 
ful cause of contention in rate of fare cases. The 
matter of the 24 per cent to 4 per cent of physical 
property value required to insure future replacement 
may represent the differ- 



The 




JOHN H. PARDEE 
President A. E. R. A. 



ence between apparent 
solvency and actual in- 
solvency. The street 
railway industry should 
look this matter of 
depreciation squarely in 
the face and not deal 
with it as a matter of 
expediency. 

"The question of labor 
has always been of 
supreme importance, but 
labor matters have 
forced themselves to the 
front especially since 
the beginning of the 
war. The scarcity of 
men, the advance in cost 
of living and other 
causes produced an in- 
sistent demand for 

higher wages. This has been one of the most difficult 
problems for a railway operating under a fixed rate 
of fare to solve. Many companies now have labor con- 
tracts which never had them before. No two contracts 
are alike. What should a labor contract contain? That 
is certainly a pertinent subject. 

"Your attention has already been called to the tremen- 
dous amount of work which the association has been 
doing both at its New York office and in connection with 
the hearings before the Federal Electric Railways Com- 
mission. Your president, who unfortunately is absent 
and whose unworthy representative I am, called your 
attention to the work of the association and its neces- 
sity for greater revenue in his address at the conven- 
tion at Atlantic City in October. He appointed a 
committee on revision of dues which is to report at 
this meeting, and in the consideration of the report I 
bespeak your hearty support of the association." 

Increase in Dues Is Approved 
Following Mr. McCulloch's address, Chas. L. Henry 
presented for the committee on constitution and by-laws, 
in the absence of Chairman L. S. Storrs, several amend- 
ments to the by-laws necessary to provide for an in- 
creased scale of dues. These changes were in accordance 
with recommendations of a special committee on revi- 
sion of dues, of which Philip J. Kealy was chairman, 
which recommendations received the approval of the 
executive committee at its last New York meeting. 
The proposed changes in the by-laws had been submitted 
to the membership in advance of the Cleveland meeting 
in accordance with the provisions of the constitution. 
Mr. Henry presented the revisions as submitted, and 
moved their adoption, but before adopting them the 
meeting amended them so as to eliminate the special 



scale of dues provided for the fiscal year 1920. 
scale adopted is therefore as follows: 

Revised Form of Section XIV — Fees 

XIV. (a) Companies seeking company membership in 
the Association shall pay an admission fee of $10. 
(b) For the fiscal year beginning Nov. 1, 1919, and 
thereafter railway member companies shall pay in ad- 
vance annual dues in accordance, except as to minimum 
and maximum, with the amounts of their gross earnings 
from electric railway operation during the preceding 
fiscal year of the respective members as follows: 

Companies having 
gross receipts of $50,000 
or less, shall pay fifty 
dollars ($50) per an- 
num; companies having 
gross receipts of more 
than fifty thousand dol- 
lars ($50,000) shall pay 
fifty dollars ($50) plus 
0.00025 times their gross 
receipts, provided that 
no company shall be 
called upon to pay more 
than $2,500. 

For the fiscal year be- 
ginning Nov. 1, 1919, 
and thereafter, manufac- 
turer member companies 
shall pay in advance, 
annual dues in accord- 
ance, except as to mini- 
mum and maximum, 
with the amounts of their gross earnings derived from 
the business of manufacturing or selling materials or 
furnishing service to electric railways during the pre- 
ceding fiscal year of the respective members as follows : 




RICHARD M'CULLOCH 
First Vice-President A. E. R. A. 



Gross Receipts : 
Under $50,000 

Between 
Between 
Between 
Between 



50,000 and $100,000 

100,000 and 250,000 

250,000 and 500,000 

500,000 and 1,000,000 

Between 1,000,000 and 2,000,000 

Between 2,000,000 and 3,000,000 



Rate 

$50 

75 

110 

175 

300 

550 

800 

Between 3,000,000 and 4,000,000 1,050 

Between 4,000,000 and 5,000,000 1,300 

Between 5,000,000 and 6,000,000 1.550 

Between 6,000,000 and 7,000,000 1,800 

Between 7,000,000 and 8,000,000 2,050 

Between 8,000,000 and 9,000,000 2,300 

Over 9,000,000 2,500 

Resolution on Replacement Reserves 
.The first formal paper on the program was one by 
Williston Fish, vice-president West Penn Rys., in ex- 
planation of the situation regarding funds to cover re- 
placements and abandonments of electric railway 
physical property, and by way of introduction to an 
appropriate resolution. Mr. Fish's paper was an ex- 
haustive treatise on the subject of depreciation and will 
be reserved for more extended abstract in a later issue 
of this paper. A few of its "high spots," however, are 
given in the following paragraphs: 

At the outset Mr. Fish said that no proof is needed to 
show that almost all elements of an electric railway 
have limited lives. Eventually they must be retired, 
replaced or abandoned, or, quoting Shakespeare, "If it 
be not now yet it will come." Money is required for 
these purposes and the question before commissions and 
courts in making and passing on valuations and rates, 
before city councils in making rates and framing ordi- 
nances, and before electric railways in presenting their 



88 



Electric Railway Journal 



Vol. 55, No. 2 



cases, is: When and how can this money be obtained? 

The speaker then took up in detail the several phases 
of the subject, including definitions, the distinction 
between depreciation and maintenance, the relation of 
depreciation to the fixing of values and rates, the re- 
quirements of statutes and commission rules as to main- 
taining depreciation reserve, the advantages of a depre- 
ciation reserve and of paying for depreciation as it 
accrues as compared with payment at maturity, and the 
proper employment of the reserve fund. 

In conclusion he summarized the many citations from 
commission rulings and other sources of information 
which the paper contained somewhat as follows: First, 
he said that all authorities agree that depreciation is a 
fact in law and nature. Second, a rule seems to be that 
in fixing the value of a property, prudently planned and 
properly managed, to determine the amount on which 
■due return is to be figured "cost to reproduce new" is 
taken, less that part of the accrued depreciation which 
the revenues, after paying operating expenses, taxes and 
a fair return, have been sufficient to provide. Third, all 
authorities agree on the principle that in fixing a tariff 
'of rates, it is proper to include in annual requirements 
ajoy depreciation, as a separate item, not already in- 
cluded in maintenance. But if a company adopts the 100 
per cent efficiency theory, with the plan of meeting 
depreciation as it matures, then it can scarcely ask 
for a depreciation allowance in excess of its main- 
tenance figure. Fourth, statutes give to the Interstate 
Commerce Commission and a number of the state com- 
missions power to require the utilities under their 
charge to any adequate depreciation reserves. It seems 
to be a general opinion of commissions that have con- 
sidered the matter, that depreciation reserves should be 
carried. Fifth, the depreciation reserve has three func- 
tions; (a) to provide money for replacements when 
made; (b) to equalize annual replacement demand upon 
revenues, and (c) to maintain the investment's integrity. 

To have a depreciation fund ready for use is to "put 
something aside for a rainy day." The theory of this 
reserve should be adopted, and its practice also, as far as 
possible. Companies should go after rates and economies 
that will provide the means for this fund; and the 
fund should be liberal. 

Resolution Adopted in Amended Form 

After Mr. Fish had presented the resolution as pub- 
lisined in advance of the meeting, contributions to the 
discussion from Bentley W. Warren and J. R. Bibbins 
-were read respectively by H. C. Clark and E. B. Bur- 
ritt. Abstracts of these are given below. An informal 
discussion was participated in by I. A. May, John S. 
Bleecker, A. W. Brady, C. L. Henry, Martin Schreiber, 
W. F. Ham, Bion J. Arnold and C. L. S. Tingley. The 
results of the discussion were certain amendments to the 
original resolution which, as passed, reads as follows: 

"Resolved, That the American Electric Railway Asso- 
ciation recommend to its member companies that, wher- 
ever possible, they provide in their accounting practice 
for the creation of adequate reserves to insure the prop- 
erty' in advance of their actual replacement or abandon- 
ment, and that such reserve shall be provided for in 
cost-of -service franchises." 

Before adjournment of the morning session, on mo- 
tion of General George H. Harries, the association voted 
to cable the greetings of the meeting to President J. H. 
Pardee, at the time in Manila, P. I. 



Depreciation, With Special Reference to 
Service-at-Cost Agreements* 

By Bentley W. Waejben 

General Counsel Boston Elevated Ry. 

NO ONE could follow the four weeks hearings before 
the Federal Electric Railways Ck)mmission with- 
out realizing the widespread interest in the service-at- 
cost plan for urban transportation. The same interest 
is manifest in many sections of the United States, and it 
seems almost certain that, in some form, the plan will be 
adopted in an increasing number of communities and 
applied to many railway systems. 

In New England, the service-at-cost idea, as advocated 
at the Washington hearings, has not attracted much 
support. The reason, however, is simple. The New 
England States have fortunately been free from the 
fallacies of contractual relations between municipalities 
and transportation utilities. Cities and tovvTis have been 
generally recognized as mere governmental agencies, for 
which others might be substituted at the pleasure of the 
Legislature, and the real purpose of the carriers as 
grantees of certain public easements, which they must 
exercise for the public benefit of travelers in return for 
reasonable compensation for the private capital devoted 
to maintaining these public easements, was early under- 
stood and insisted upon. Consequently, the regulatory 
laws of those states as interpreted by their courts, have 
now for many years brought about a situation in which 
the cost of the service has constituted the standard of 
state regulation. Local restrictions have frequently 
been swept aside and may in all cases be abrogated, 
when deemed by the Legislature a hindrance to the most 
efficient fulfillment of the public purpose for which the 
utilities were chartered and are permitted to continue. 

With the increasing scope of the state regulation in 
New England and the prospect of the increasing 
adoption of local service-at-cost franchises in various 
other jurisdictions, certain problems, common to both 
methods of treating those utilities, are presented. 
Unless properly solved, these problems threaten disaster 
to the industry and to the public which looks to it for 
transportation service. 

At the outset is the determination of the value of 
private capital devoted to this public service. All wit- 
nesses at Washington agreed upon the necessity. for this 
determination. In New England, it has been substan- 
tially accomplished through years of supervision of all 
security issues. Consequently, the total capitalization 
approximately represents the total cost of the property. 
Elsewhere, some method of appraisal and valuation has 
been found either necessary or desirable. By whatever 
course effected, such determination furnishes the basis 
for fixing the amount upon which the private investors 
are entitled to a return. 

The rate of fare is supposed to go up and dovm in 
accordance with the cost of the service furnished by the 
utility. In this cost is of course included the proper or 
stipulated return upon the investment, the current 
operating costs and the permanent maintenance of the 
property at a proper standard of efficiency. There is 
noticeable a general disinclination on the part of the 
public's representatives to permit as much elasticity as 
is reasonably needed to assure the best service to the 
public, in respect (a) to return on investment, (b) to 
current operating requirements, and (c) to such prompt 



•Abstract of discussion on depreciation resolution. 



January 10, 1920 



Electric Railway Journal 



89 



and complete renewal and replacement of property 
elements as the progress of the art, quite as much as the 
actual wearing out of those property elements — shows 
to be necessary. Proper provision for all these items 
of the cost-of-service depends upon the rates of fare. 
By keeping down capital return, operating allowances 
and renewal reserves, the public representatives expect 
to keep down the total cost of sej-vice and consequently 
the individual cost to each person served. Low fares for 
the present generation are made almost a fetish. 

Desire to Protect Present Users a Fallacy 

This desire to protect, above all, the present users of 
a public utility is as general as it is fallacious. Its 
motive is easy to understand. Public representatives, 
whether Interstate Commerce or State Commissions, 
municipal officials, state legislators, or special and 
temporary appointees, are keenly sensitive to the inter- 
ests and criticisms of their contemporaries. The 
approval of the latter is desired, their condemnation is 
feared, even continance in office may be involved. The 
next generation, however, is unrepresented. It has no 
votes, it writes no letters to the press, it makes no 
speeches in political campaigns, and has no voice at 
public hearings. It might, perhaps, be seriously argued 
that in every proceeding affecting proper maintenance 
and renewals of public utilities there should be 
appointed a guardian, "ad litem," to represent the 
unborn future users of the utility, following the analogy 
of probate court proceedings. 

Most successful business enterprises, whose managers 
are free to conduct them as seems wise, will be found 
to have erred on the safe side of overmaintaining their 
properties. While the New England electric railways 
are struggling along without dividends, with no credit, 
with insufficiently developed and in many cases ante- 
quated or depreciated plants, we see the New England 
shoe factories and textile mills flourishing, their plants 
worth more than their books indicate, enjoying the best 
of credit and always prepared to take advantage of a 
favorable, or to overcome an unfavorable turn of the 
wheel of fortune. Why is this? The managers and 
investors in New England manufactures and in New 
England transportation belong to the same race. 
Indeed, the investors in both are often the same people. 
Is it not because the manufacturer manages his oviTi 
business, decides how much of his income he will apply 
to maintenance and renewals, and improvements, while 
the poor transportation operator nervously fingers over 
the many pages of the commissions' accounting direc- 
tions, usually seeking the aid of one or more expert 
accountants, and charges all sorts of items to construc- 
tion and betterment accounts, which any conservative 
man conducting his own business would charge to oper- 
ation ? The Interstate Commerce methods of accounting, 
like those of many State Commissions, tend to top- 
heavy capitalization, and this is, I imagine, what the 
service-at-cost plans will do. 

A quarter of a century ago, it was the boast of 
certain steam railroads that they had absorbed their 
construction accounts years before. Those companies 
can bear even the exigencies of a great war and preserve 
their credit. The old horse railroad accummulated a 
surplus sometimes apparent in the balance sheet, some- 
times discoverable only upon inspection of the property. 
New cars were bought and charged to maintenance. The 
construction accounts were rarely opened except to meet 
the cost of actual extensions and not always then. 



The introduction of electricity has developed the 
street railway into much more of a mechanical and 
machinery proposition than was the horse railroad. 
With this change has come not only a more rapid wear- 
ing out of property elements but of necessity a more 
frequent substitution of new and better appliances and 
machinery. Under modern conditions applicable to 
electric railways it may well be doubted whether any 
expert estimates of the life of the various major items 
of property are of great practical value in determining 
proper reserves. 

A Massachusetts shoe manufacturer in the course of 
one of those questionnaires to which Washington 
officialdom likes to harass business men was asked the 
length of life of his machinery. He has apparently made 
a practical instead of a theoretical charge for depre- 
ciation. His reply throws light on that whole subject, 
"I know that if a new machine is invented next year 
better than mine, mine will be dead. It will be junk, 
worth only what the metal in it is worth. Its life 
depends on the date of the next invention. I wish you 
would tell me that date. I have tried to learn it. When 
I do, I can answer your question. I am in a competitive 
business and must be prepared to adopt the best and 
latest machine as soon as it appears." 

The street railway is also in a competitive business so 
far as the need of adopting the best and latest appli- 
ances is concerned. Its competitor is not another street 
railway, but is the endless, ever-insistent demand of the 
public that the best is none too good and must be 
furnished. 

Reserves Should be Double What Estimated 
Life Indicates 

Unless this matter of replacement and renewal 
receives proper attention and liberal treatment, service- 
at-cost plans will not bring the relief that is anticipated. 
It is possible that the best estimates upon the life of 
power stations and rolling stock, for examples, based 
solely upon their durability and serviceability, measured 
by present standards, ought to be cut in two in order to 
meet future developments and improvements, that is, 
the reserves should be twice what the estimated life 
would indicate. This would involve no injury to the car 
riders, with the capital return limited, and the amount 
in which it is to be paid determined. Any excess 
reserve would be in the property and could not under 
any proper system of regulation be withdrawn from it. 
Neither could such resources be utilized to enhance the 
value of the property in case of its purchase by the 
public if the provisions for creating and using the 
reserves were properly drawn. The alternative must 
be in all probability a second controversy in the future 
as to the value of the property devoted by the utility to 
the public use. It is easy to protect the public against 
the inclusion of over liberal reserves in the value of the 
property to be paid for by the public. It is not easy to 
convince the public that insufficient reserve and appar- 
ent consequent impairment of property are due to the 
past failure of the public to pay remunerative fares 
sufficient to maintain that property. 

The Boston Elevated Railway Co. has never paid 
over 6 per cent dividends. All of its stocks and bonds 
have been issued under public supervision. Indeed, 
its stock represents an investment in cash of approxi- 
mately $112 a share, so that its average dividends have 
been substantially less than 6 per cent of the amount 
paid in by its stockholders. It was the only companj^ 



90 



Electric Railway Journal 



Vol 55, No. 's. 



having a fare fixed by statutory contract and was 
allowed to charge only a flat 5-cent fare. In recent 
years, until public control substituted the 10-cent fare, 
its revenues were not enough properly to maintain the 
property. A large part of the public now thinks that 
condition is in some way the fault of the company 
and that the public ought not to pay a return upon 
the actual investment because part of that investment 
has disappeared for the reason that that same public 
has been paying too little to keep the property up. 
Companies proposing or forced by public sentiment to 
enter into service-at-cost arrangements should guard 
against accepting provisions likely to end in a situation 
similar to that of the Boston Elevated. Unless they do 
they will ultimately find their relations with the public 
little more satisfactory than at present. Renewals must 
as surely be provided for as the payroll. In my opinion, 
that provision should take into account probable 
increased cost of the renewals, whether from higher 
cost of the same things or the highest cost of better 
things available, and required by the higher standards 
prevailing when the time for renewal arrives. The 
tendency to insist upon capitalizing every last cent of 
theoretical betterment represented in the substituted 
item over the earlier one should be resisted. No utility 
and no part of the public will suffer from conservatism 
in swelling the capital and construction accounts. 



Depreciation — Some Lessons from 5-Cent 
Fare History* 

By J. R. BiBBiNS 

Engineer The Arnold Company, Chicago, 111. 

IT IS indeed appropriate and timely that the American 
Electric Railway Association should be called upon to 
consider the much befogged issue of depreciation as an 
element in cost-of-service franchises and to formulate 
in specific terms a basis for proper accounting therefor, 
both with reference to current accounting and also the 
actuarial problem of providing for the future. The 
writer will not attempt to burden the proceedings with 
arguments in favor of considering depreciation in any 
of its forms, for he believes that the existence of depre- 
ciation is so forcibly proven in utilities as well as other 
industries, that the whole question simply resolves itself 
into a moral issue — who is to pay the piper ? Should the 
utilities stand on a platform of pay-down, pay-as-you- 
go, or pass on to the future the burden of accruing as 
well as matured depreciation? 

The writer desires to record himself definitely in favor 
of the resolution as presented. 

However, there is one aspect of the problem which he 
regards as most vital and fundamental, and yet which 
has practically been lost sight of in discussions of this 
subject by those who should have considered it most pro- 
. foundly. And this is: Considering past history, has 
the public in fact paid for the capital investment used 
up in its service in the rate of fare collected? 

The cost-of-service basis is today accepted by the 
utilities as the only practicable and fair means of secur- 
ing a rate of fare commensurate with the current cost 
of transportation. So far it is eminently just and scien- 
tific. But why do we apply the cost of service today 
and neglect to ascertain whether this same basis has 
applied in the past, and whether the public has accepted 
service at less than cost? Manifestly, this is an 

* Abstract of discussion on depreciation resolution. 



actuarial problem, not a simple problem of today; for 
there are two fundamental, distinct elements involved, 
one dealing entirely with current costs of operation and 
money, and the other dealing entirely with the heritage 
of the past and the probabilities of the future. 

To prescribe a reserve for unmatured depreciation as 
an element of today's cost of service, is eminently sound 
accounting and reflects past experience as applied to 
future expectations. So far, so good. But the other 
element, based upon the actualities of past history, 
should not be neglected, for it is entirely in the interest 
of the utilities to ascertain whether the past holds for 
them any equity or credit (of the existence of which the 
public seems to have no knowledge), resulting from the 
above-mentioned fact that the service may have been 
given at less than cost. That such an important con- 
sideration in the interest of utilities should have been 
lost sight of in practically all current proceedings, is a 
matter of curious interest. 

By-Gones Are Not By-Gones in This Business 

This whole subject resolves itself into a determination 
of the historical investment and return as gaged by 
standard practices of today and scientific accounting. 
It is indeed curious that so few historical determina- 
tions have been made by the utilities. On the other 
hand, there seems to be a widespread expression against 
this policy, in other words, "Let by-gones be by-gones," 
"let the door of the past be closed." Thus the utilities 
have deliberately sacrificed in probably the majority of 
cases practically the only opportunity which is open to 
them today to certify to their past loss and to the fact 
that the "pay-down" plan of cost-of-service has not been 
met in the past; that is, that the public has accepted 
service at less than cost. 

Is it not obvious that to close the door of the past 
deliberately throws the utilities into a defensive posi- 
tion, where in many cases an offensive position could be 
taken, and makes it necessary for them to combat the 
public's demand for depreciated value as a basis of rates, 
with no other weapons of defense than hysterical argu- 
ment and lengthy legal procedure, neither of which may 
have a sound basis of fact or reasoning capable of proof 
in direct and explicit form? On the other hand, a his- 
torical determination often yields results which in them- 
selves are unanswerable and constitute a positive de- 
fense, as distinguished from the very uncertain defense 
based upon argument, opinion or persuasion. 

To be specific: let us examine the history of the 
5-cent fare in the railway utilities, ascertaining the true 
net investment from year to year, the true annual rate 
earned thereon, and the net result in the form of cumu- 
lative surplus or deficit from the beginning up to the 
present time. 

The result of such a determination would offer posi- 
tive proof as to whether the public had or had not con- 
tributed in past years sufficient revenue to permit the 
utility to conduct its business on the standard basis 
of accounting which is demanded today. " Thus in a 
capitalization case, a fare case or a service case of today, 
the moral issue involving both sides of the controversy 
would stand out clearly, that is, can the past generation 
justly transfer a part of its proper burden of the cost- 
of-service to the present generation alone, or evade its 
responsibility still further by subtracting from the prop- 
erty or assets of the utility an amount representing such 
shortage in revenue? 



January 10, 1920 



Electric Railway Journal 



91 



Does it not appear that the problem is far too broad 
and fundamental to be treated in the usual narrow way 
of simply denying the existence of depreciation in the 
effort to "save our bacon," while on the other hand there 
is actually involved the whole problem of apportion- 
ment of responsibility between past, present and future 
generations ? 

The writer believes that if the complete facts were 
spread open to analysis, both the riding public and 
finally the voting public would be brought to a clear 
understanding and fair attitude in the matter, where 
unlimited expenditure of effort and funds in legal pro- 
cedure could never accomplish the same result. 

[By way of illustration of his contentions Mr. Bib- 
bins traced the investment history of a large railway 
property on a 5-cent fare over a 50-year period, giving 
the results in graphical form. (See E. R. J. Sept. 20, 
1919, page 570) . He summarized the results as below. 
—Eds.] 

The hard facts which the owners of this property 
face today, as drawn from this typical economic study, 
may be summarized as follows: 

Apparent rate earned, 1860 to 1919 6.85 per cent 

Apparent rate earned, electric period, 1891 to 1919. . 6.60 per cent 
Actual rate earned, electric period, corrected for cost 
of carrying deficits and assumed amortization 

of accrued depreciation to date 5.27 per cent 

Actual rate earned, electric period, corrected finally 
to cover renewal fund reserve necessary to meet 
future renewal liability at the highest peak of 
renewal work (using pre-war normal prices) . . . 5.03 per cent 

Thus the actual economic history of electrical oper- 
ation of this property has seemed to be on a basis of 
less than five per cent, considering present-day renewal 
costs. With such an exhibit spread upon the records, 
does it seem wise to attempt to close the door of the 
past? And can any amount of argument, opinion or 
persuasion satisfy the fair-minded public as fully as by 
the results of such an accurate historical determina- 
tion? 

The writer submits that if such a policy of open- 
minded research were generally accepted, and favored by 
the utilities, there would be little difficulty in securing 
acceptance of the basic priciple involved in the resolu- 
tion under consideration by this association. One of the 
most recent applications of the principle proposed is in 
the Minneapolis cost-of-service franchise, which was in 
fact worked out with this principle in view. 

Afternoon Session 

The afternoon session was called to order at 2.30 
by Chairman McCulloch. After the opening of the 
meeting Martin Schreiber, Public Service Ry., offered 
a resolution on the death of George V. Weston. The 
resolution, which was adopted by a rising vote, follows: 

"The American Electric Railway Association has 
learned with the deepest sorrow and regret of the 
sudden death of George V. Weston, one of its most 
valued and esteemed members. Mr. Weston had, in 
connection with the association committee on valua- 
tion, just conapleted a work of such great value to 
the industry that its final effect cannot now be properly 
estimated. The qualities of loyalty, faithfulness, fair- 
ness and untiring energy which characterized his 
connection with the association and the committee, 
marked his personal and business relations throughout 
his entire life. It is therefore fitting that the asso- 
ciation, in this meeting, express by this resolution its 
sorrow at his untimely demise and its appreciation of 



his service, both to the organization and the industry. 

"The secretary is hereby instructed to spread this 
resolution upon the minutes of the association and 
to convey a copy thereof to Mr. Weston's family." 

Edwin Gruhl, Milwaukee Electric Ry. & Light Co., 
then read a paper on "Essentials of a Labor Contract." 
This paper appears in full elsewhere in this issue. 

At the close of Mr. Gruhl's paper the secretary read 
a written discussion contributed by F. W. Hild. An 
abstract of this discussion is published on another page. 
R. L Todd, Terre Haute, Indianapolis & Eastern Trac- 
tion Co., also read a short paper on the same subject, 
which is abstracted elsewhere. F. W. Doolittle, Mil- 
waukee Electric Ry. & Light Co., then said that Mr. 
Gruhl had performed a real service to the association 
by his very clear preservation of the points of issue 
between labor and the railway managements. He 
then read a paper, abstracted elsewhere, amplifying 
the opening statement in regard to the mutuality of 
interest of labor and com'pany by saying that the fail- 
ure to have mutuality could not be placed at the door 
of the managers but rather at that of the other two 
parties — labor and the public. 

C. D. Emmons, United Rys. & Electric Co., Baltimore, 
Md„ followed Mr. Doolittle in the discussion. He called 
attention to his experiences in Massachusetts, when in 
three years there were seven cases of the labor union 
breaking its contract with absolute disregard of the 
rights and interests of the company and the public. 
As to arbitration, he said the unions would not sub-nit 
to that manner of settlement unless they knew in 
advance that two of the three arbitrators were favor- 
able to their cause. He cited one instance where a 
man suggested by the union's own counsel and sup- 
posedly appointed, was afterward rejected when it was 
gleaned that he was not committed to an award to 
labor. 

Mr, Emmons then spoke briefly of the co-operative 
plan v/hich has been substituted for the union in Balti- 
more. The union committee has been displaced by a 
body of twenty-eight members elected from the mem- 
bership of an association of the employees. This asso- 
ciation has a contract with the company and there is 
also an individual agreement between each employee 
and the company. Both company and men co-operate 
as far as possible in all matters of mutual concern. 
Company representatives sit in at the meetings of the 
employees and advise with them and there seems to 
exist a feeling of satisfaction on the part of the men 
that they are controlling their own affairs. The 
arrangement is producing satisfactory results for the 
company. 

Fred G. Buffe, Kansas City Rys., gave a brief review 
of the serious difficulties which have been had in his 
city during the past year. One strike was called when 
the men were suddenly organized, and another when 
they went out in sympathy with the striking laundiy 
workers. Finally, the company determined to operate 
the system vsdthout the union men and began with 
eighty cars, the regular service calling for about 600. 
From this beginning, service was gradually built up 
to normal, although it took several months to acquire 
and break-in a complete new operating force and 
involved a tremendous task. But it was demonstrated 
that service could be given without the union. 

Mr. Buffe said that at present his company has the 
finest force of trainmen and the best spirit that it has 
ever enjoyed, and is making every effort to pay the 



92 



Electric Railway Journal 



Vol. 55, No. 2 



men properly and to see that they get a square deal 
in every respect. 

He mentioned the effort being made in Kansas City, 
Kan., by Governor Allen, to work out a plan whereby 
the labor unions will be financially and individually 
responsible in the contracts entered into. He charac- 
terized this effort as the one constructive step forward 
being made in the country to establish the responsi- 
bility of the unions on an equitable basis. 

General George H. Harries closed the discussion on 
the labor problem. He said that the paper of Mr. 
Gruhl presented a very interesting theory for settling 
labor disputes, but he was afraid it was somewhat 
idealistic. Personally, he was not an idealist, and he 
laid down the axiom that where theory harmonizes 
with actual conditions it may be accepted as fact, other- 
wise it is no more than a dream. He said that indi- 
vidual freedom of contract is an American principle 
and asked what, under the plan proposed, a company 
could say to the unorganized majority of employees 
who did not want to join the union. 

At the close of the discussion on Mr. Gruhl's paper 
Mr. McCulloch said that the executive committee had 
received several letters suggesting that more frequent 
meetings of the association be held during the year 
and asked for discussion on this point. 

Mr. Henry thought no more frequent general meet- 
ings were needed, but after saying that the midyear, 
meeting might be held somewhat later in the year 
to bring it more nearly midway between the October 
meetings, suggested that the executive committee might 
hold meetings in ditlerent parts of the country at which 
those in the vicinity could meet with the committee and 
topics local in their character could be discussed. 

Mr. Coates suggested that two such meetings of the 
executive committee be held annually at points other 
than in New York and the place of the annual meeting. 
This was put in the form of a motion and carried. 
The meeting then adjourned. 



Justice to Both Sides in Arbitration* 

By F. W. Hild 

General Manager Denver Tramway 

Contracts between organizations, whether conducted 
as commercial enterprises or as mutual benefit organi- 
zations, such as labor unions, should carry with them 
responsibility and reliability of performance by the 
parties thereto. Unfortunately, a number of instances 
have developed where only one party to the contract is 
bound and that one the company. For that reason 
many people believe that until the labor unions assume 
and demonstrate their full responsibility by legally 
incorporating their organizations, the essentials of 
a labor contract are best represented by zero — noth- 
ing. There seems to be a growing realization on the 
part of union labor of the importance and necessity of 
thus establishing responsibility. In the meantime, how- 
ever, since contracts are being entered into between the 
employer and groups of employees, there are at least 
two matters to be considered by those in the electric 
railway industry. 

The question of settling wage controversy by arbitra- 
tion seems to be regarded with anything but uniformity 
among the labor unions. Some apparently are strongly 
in favor — others as bitterly opposed. That section of 



organized labor known as the Amalgamated Association 
of Street and Electric Railway Employees of America 
is among those which have announced themselves as 
favorable to arbitration, and this, of course, has its 
appeal to public opinion. 

The companies would find small objection to arbitra- 
tion if the arbitrators, when fixing wages, could also 
fix the rates of fare necessary for the revenue to pay 
the wages. In the absence of this happy condition the 
company can agree to arbitration only if provision is 
made for safeguarding it against serious loss or pos- 
sible insolvency which might result from the wage 
awards. It is, therefore, important that a labor con- 
tract providing for arbitration should also contain a 
section requiring the arbitrators fully to consider the 
artificial limitations upon the company's revenues and 
to make their findings accordingly. 

Naturally, the more explicitly this can be set forth, 
the better for all concerned. For the union, according 
to my experience, will object to the safeguarding clause 
while insisting upon the arbitration clause. 

In Denver, the company agreed to the arbitration 
clause, only on condition that the union also agree to 
the following clause being written intO' the contract: 

Section 2. As a part of this agreement it is recognized 
as a basic principle that the public is entitled to good, ade- 
quate and convenient service, that the employees are entitled 
to good compensation and good working conditions and that 
the investors in the company are entitled to, a secure and 
reasonable return upon their investment as represented by 
the fair value of the property and both parties hereto agree 
to exercise their best endeavors in the attainment of these 
objects collectively. 

Under this clause the arbitrators in determining the 
question of compensation at issue must consider the obli- 
gations of the company to all three of the parties inter- 
ested — the public, the investors as well as the employees, 
and in the preparation of an arbitration case under 
such an agreement the company should present exhibits 
in the order named covering substantially the following: 

Service requirements for the public; list of employees 
and their compensation; cost of living; occupational 
comparisons; hours of service and working conditions; 
revenues and expenses. 

Each of these is quite a story by itself. Compensa- 
tion figures should be given on the basis of yearly earn- 
ings as the result will show interesting comparisons with 
some of the crafts where higher hourly wages are in 
effect but which offer no such continuity of employ- 
ment as is in the street railway industry. 



Objections to Union Collective Bargaining* 

By Robert I. Todd 

President Terre Haute, Indianapolis & Eastern Traction Co. 

THE paper by Mr. Gruhl presents many very inter- 
esting and original suggestions regarding the best 
mehods of handling the labor question in connection 
with his discussion of the details of what are the 
"Essentials of a Labor Contract." These are all worthy 
of careful consideration, but some of them are such 
as could hardly be safely followed. 

The principles laid down in this paper would seem 
to contemplate the unionizing throughout of all the 
labor departments of the street and interurban rail- 
way properties of the country and dealing with all 
employees collectively, covering not only the platform 



*Abstract of discussion on Mr. Gruhl's paper. 



* Abstract of discussion on Mr. Gruhl's paper. 



Januanj 10, 1920 



Electric Railway Journal 



93 



men, but including as well in one collective organiza- 
tion, the power house and substation men, shop men, 
track men, linemen, etc. The developments in recent 
months show that the tide is drifting the other way, 
which drift has been strongly augmented by the re- 
sults of collective bargaining, through forced union- 
ization of street railway properties, particularly dur- 
ing the war period just passed, and which has been so 
disastrous not only to the companies themselves but 
also to the comfort and convenience of the public 
whom they serve. It would seem to be clearly the 
duty and obligation of all street railway companies in 
the country to use every effort in their power to 
prevent such unionization of their properties and con- 
sequent union collective bargaining which has practi- 
cally ruined many of the street railway properties of 
the country. 

Labor unions throughout the country have abso- 
lutely refused to incorporate and assume any financial 
responsibility, preferring the present method of mak- 
ing contracts through union collective bargaining, 
which are binding on the company on the one side, 
but are treated as mere "scraps of paper" by the 
unions whenever it suits their selfish interests, or even 
their idle whims. The history in the past shows that 
no labor organization would accept the plan of assum- 
ing any financial responsibility as proposed in Mr. 
Gruhl's plan for collective bargaining. 

We are now entering a period when a great deal of 
attention will be paid to the particular relations be- 
tween capital and labor. At such a time the owners 
of the street and interurban railway properties 
throughout the country certainly need the benefit of 
all the points which have already been threshed out 
in the courts and decided in their favor. Whatever is 
shown to be reasonable and desirable will be conceded 
in the way of better working conditions or for satis- 
factory adjustment of grievances, and all will agree 
that fair wages are to be paid. Certainly this does not 
require, and should not be accompanied by, an abandon- 
ment of the rights of the companies and especially 
those rights which have been decided and definitely 
settled by the courts. 

The right to stop by injunction the meddlesome 
interference by outside labor agitators, who are not 
employed upon or in any way interested in the prop- 
erty, should in no case be surrendered. Therefore, 
in considering the drawing of such a contract as 
suggested in this paper, the possibility of such inter- 
ference by outside labor agitators should be distinctly 
borne in mind, and the form of the contract should 
be such that it will be well within the cases which 
the courts have already considered in handing down 
their decisions. 

The following are some of the points decided: 

1. That it is within the right of an employer to deal 
with his employees as an organized body or to refuse 
to deal with them in any other manner than separately 
and individually. 

2. That it is within the right of all employers to 
refuse to recognize the union and to enter into con- 
tract between employer and employees stipulating that 
the employees shall not join a union and that no union 
men shall be employed or shall work on the property. 

3. That it is entirely competent in making a con- 
tract, to provide that there shall be no strikes or 



cessation of work in a body and such a contract will 
be upheld and protected in law. 

4. That when a contract has been entered into be- 
tween an employer and one or more employees, it is 
not possible for the employer to secure an injunction 
against the party to such a contract breaching same, 
but notwithstanding this, he may secure an injunction 
against any third person intermeddling in the contract 
relations so created, and attempting to persuade the 
employees into committing a breach of the contract. 
And as is generally known, if the outside labor agitator 
can be eliminated from the situation, as a usual thing 
labor troubles are very generally eliminated. 

The term "collective bargaining" is too often used 
to cover a plan which takes from the companies and 
their employees the opportunity of making a mutually 
satisfactory bargain, which is certainly not justified 
from any proper point of view. Collective bargaining 
between a company and its employees is entirely 
different from and not to be compared with, union 
collective bargaining, where demands on the part of 
the union are generally determined by persons in no 
way concerned or interested in the property. 

As it has been clearly demonstrated that labor 
unions do not consider themselves bound by the terms 
of a contract, it would seem extremely unwise to go 
beyond those absolutely essential points upon which 
the employer would base his rights to go into court 
in case of any complication arising. These particular 
points would be as follows: 

First: The time for the beginning and ending of 
the particular wage agreement, with provisions for 
renewal and readjustment of the wage from time to 
time during the continuance of the employment of the 
employee. 

Second: A provision whereby the employee agrees 
to refrain from engaging in any strike or counseling, 
aiding, or inducing others to engage in a strike or any 
cessation of work in a body, but in case of any 
grievances which cannot be satisfactorily adjusted, 
that he will leave the service of the company singly 
and without co-operation of others and in such a 
manner as not to interfere with the regular operation 
of the business of the company's cars. 

Third: A provision defining the duties which the 
employee is to discharge in consideration of the wage 
which the company agrees to pay. 

To these provisions, which may be considered 
applicable to all contracts, particular provisions can 
■ be appended defining methods of adjusting grievances 
by means of arbitration. In all states where public 
service commissions are in existence, it would seem 
that this is the particular tribunal to which such 
grievances should be submitted for arbitration, as the 
arbitration power which decides the rate of wage of 
employees should also be the body which has authority 
over the revenues of the company as well. Other 
provisions might be added providing for other benefits 
or obligations on either of the parties, as may suit the 
particular case. In no event, should any provision be 
inserted in the contract, providing for the remedy 
which the other party may have in case of a breach. 
as the obligations of the contract being agreed upon, 
the law itself will supply a more satisfactory^ and 
adequate remedy than it would be possible to secure 
by such an agreement or contract. 



94 



Electric Railway Journal 



Vol. 55, No. 2 



While Mr. Gruhl is entitled to great credit for the 
manner in which he has presented the paper prepared 
by him, it would not be to the best interest of the 
industry to follow many of the suggestions made. 



Economies Are Possible Through 
Co-operation* 

By F. W. Doolittle 

Milwaukee Electric Ry. & Light Co. 

OBVIOUSLY, the key note of Mr. Gruhl's remarks 
is mutuality of interest. Since looking this paper 
over, I have considered some phases of the practical 
results obtainable from a recognition of this relation. 
At least three parties must co-operate, if the electric 
railway is to live as a self-supporting industry. In the 
order of their entry into the industry though not 
necessarily in the order of their importance, for all 
three are essential, these parties are those who devote 
their money to the enterprise, those who engage in 
it as employees and those for whom the service is 
rendered. Unless the company and the employees co- 
operate the enterprise must fail, and if they do co- 
operate a basic wage both to capital and to labor may 
be had together with some added compensation as a 
result of the economies effected. Unless the company 
and the public co-operate, the industry cannot con- 
tinue; but if they do, the business can be made to 
compensate the capital already invested at least on 
such a scale as will induce new capital to come in 
as needed and the result of this co-operation will be 
to secure for the public a quantity and quality of 
service which is commensurate with its needs. Unless 
the employees and the public co-operate, the enterprise 
cannot be remunerative, and eventually the employee 
will have to seek other employment and the public 
will have no service. 

This common interest of the several parties has been 
pointed out time and again, but has not yet become 
the rule of practice as generally as it should. Perhaps 
in no place better than in Cleveland have the advan- 
tages of such co-operation been proven. 

To be more specific, the possibilities of co-operation 
between the company and trainmen along the lines 
of increased speed of cars, economy in the use of 
power, and attention to matters of safety, resulting 
in decreased expenditures for injuries and damages 
and for equipment maintenance, may be made to yield 
considerable sums, available for increased wages on 
one hand and decreased operating expenses on the 
other. The expenditures for these items will in the 
average property run between 40 and 50 per cent of 
the operating revenue. Economies effecting a saving 
of 10 per cent, divided equally between reduction in 
the cost of service and increase in trainmen's wages 
may easily net the trainman an amount equal to two 
to three day's wages per month. 

As between the company and the public, such things 
as staggered hours of closing, the maintenance of a 
clear track, the skip stop, the use of one-man cars and 
similar economies may effect lower rates of fare, a 
decrease in the length of time necessary to complete 
a journey, increased safety, and considerable better- 
ment both in quantity and quality of service. Co- 
operation between the employee and the public in mat- 
ters of safety in operation, speed in loading and 



unloading, thoughtfulness and courtesy, permit the em- 
ployee to effect economies such that his compensation 
will be on a scale high enough to attract the best 
men into the business, will serve to make existing 
fares attract the additional investment sufficient to 
extend and amplify the service and will yield big divi- 
dends in satisfaction, both to the employee and the 
public. 

That these economies, possible as a result of the 
recognition of the common interests of all parties, are 
considerable is borne out by the fact that the use of 
one-man cars will under normal conditions effect sav- 
ings sufficient either to reduce fares 12 per cent or 
to increase service 30 per cent or to increase wages 
over 40 per cent or to increase the amount available 
for return by about the same amount. 

It is likely that the high speed achieved in Cleveland 
due to clear track, skip stops, and co-operation in 
loading and unloading, amounts to an annual saving 
of at least 10 per cent in trainmen's wages, while 
the use of two-car trains throughout the day, resulting 
in greater headway, has probably effected an equal 
saving. 

The economies resulting from co-operation between 
employee and company are relatively of greater im- 
portance in the power and maintenance departments 
than in the transportation department, and have in 
certain cases where seriously attempted resulted in 
substantial gains in wages and material reductions in 
costs. 

The matters of taxes, paving requirements, snow 
removal, free lighting and power and similar items 
should be made the subject of careful study by com- 
panies and municipal authorities. Such portions of 
these expenses as are fairly a part of the cost of 
furnishing transportation, should be reflected in the 
rate of fare, but the car rider and the company are 
alike interested in seeing that the mere circumstance 
of convenience should not be made the basis of the 
appointment of the company as a tax collector to raise 
funds from a single class of the public, the car rider. 



•Abstract of discussion of Mr. Gruhl's paper. 



A Memorable Association Banquet 

RICHAED Mcculloch acted as toastmaster at 
.what proved to be one of the most brilliant, in- 
structive and entertaining, as well as best-attended, mid- 
year banquets enjoyed by the association members in 
years. Perhaps it was because of the slow yet certain 
improvement in conditions in the industry which is be- 
ing sensed, that the members responded so heartily to 
the sentiments and thoughts expressed by the speakers 
before this social gathering after a day of serious en- 
deavor. But if there were any executives present who 
had not yet felt this optiniism, they were converted and 
given a new hope and a new interest in the electric 
railways as a result of the brilliant talk of Andrew 
Squire, general counsel of the Cleveland Railway, and 
of his introduction of Hon. Warren G. Harding, United 
States Senator from Ohio. The latter's response was 
an address so meaningful, so sincere, so true to the 
problems of the electric railways, that it brought the 
members to their feet several times in admiration and 
applause. 

Mr. McCulloch paid a high compliment, which was 
heartily indorsed by the members, to John J. Stanley, 
president of the Cleveland Railway. He said that Mr. 
Stanley was unique as a street railway president, for 



January 10, 1920 



Electric Railway Journal 



95 



he had given his stockholders a raise in pay at the 
same time he had increased the wages of the motormen 
and conductors. 

Mr. Squire went back into the very early history of 
the horse, cable and electric car line developments in 
Cleveland, and gave some of the background of the 
work of Tom and Albert Johnson, and of Judge Tayler, 
in working out the present service-at-cost franchise. 
He pointed out that the principal defects in the plan had 
been the absence of reward for initiative and efficiency, 
and the fixed rate of return on the stock coupled with 
the requirement to sell stock at par. The inability of 
the company to secure money at 6 per cent has recently 
been adjusted by an arbitration to a 7-per cent return 
with the consent of the City Administration. Mr. 
Squire said, however, that the real success of the ser- 
vice-at-cost plan was due to the efforts of Mr. Stanley, 
who has a large sum of his own money invested in the 
property. He predicted that when Mr. Stanley some 
day steps out and the property is administered by men 
having only a salary interest, the success of the service- 
at-cost plan will rapidly decline. 

Mr. Squire then introduced Senator Harding and 
spoke of him in the highest terms, bringing forth great 
applause when he mentioned the Senator as Ohio's choice 
for the Presidential candidacy. Senator Harding spoke 
reminiscently of the first time he had met Mr. Squire, 
which had been at the home of the late Mark Hanna, 
about twenty years ago, when the Senator was a member 
of the State Assembly and had been interesting himself 
in the contractual relations between public utilities and 
municipalities. At this time Mr. Hanna had pointedly 
remarked: "You are interesting yourself in street 

railway franchises. What the h do you know about 

them?" The Senator said that he had never been able 
to answer that question. 

The Senator paid the electric railways a high tribute 
when he said that they had responded to the needs of 
the country by playing a big part in some of the most 
important things of the war. He characterized the haul- 
ing of workmen at home as being no less important than 
the transportation of soldiers in France. But with all 
their effort, the Senator said, he knew of no industry or 
corporation that had been penalized more severely than 
the electric railways. He scored the Administration for 
having doubled the expense account of the street rail- 
ways without having any disposition apparently to help 
provide means for meeting it. The key-note of his 
further address was that there should be a square deal 
for capital as well as for labor, summing his thoughts 
up in the statement that an honest investment in an 
honest public service must be assured an honest return. 

The S-enator said he doubted the wisdom of public 
ovvTiership and thought it was merely a scheme for 
drawing the dollars in the people's pocket from an 
impersonal treasury. He then illustrated at some length 
the manner in which organized labor might easily be- 
come a powerful capital-producing machine, accruing 
to its own great advantage, based on the assumption 
that it was capable of collective undertaking as well as 
collective bargaining. If it would direct its efforts along 
this line, he figured that it could own one-ninth of the 
entire electric railway properties of the country in ten 
years, supposing that each employee invested one hun- 
dred dollars a year. The result of this would be to 
transform the laboring classes into capitalistic masses. 
He laid great emphasis on the thought that saving is 
safer and surer than seizure. 



Edgar A. Guest, poet and humorist, then kept the 
members in laughter with his stories and wit, inter- 
spersed with poems which seemed most appropriate and 
pleased his audience immensely. 

The ladies in attendance at the mid-year meeting 
were entertained under the direction of S. D. Hutchins, 
of the Westinghouse Traction Brake Company, and his 
committeemen. 

They were served a six o'clock dinner at the Hol- 
lenden Hotel, after which they saw Frances Starr in 
"Tiger, Tiger." They joined the men in dancing after 
the banquet. There were about fifty ladies in the party. 



American Executive Committee Meets 

ON JAN. 7 the executive committee of the American 
Association met in Cleveland, Vice-President Rich- 
ard McCulloch presiding. Members and guests in at- 
tendance included J. G. Barry, W. S. Bartholomew, 
E. B. Burritt, J. K. Choate, F. R. Coates, W. Caryl Ely, 
Thomas Finigan, Jr., S. B. Hare, General George H. 
Harries, B. A. Hegeman, Jr., C. L. Henry, E. R. Hill, 
P. J. Kealy and J. J. Stanley. 

The report of the committee on revision of dues 
was considered informally, no action being necessary, 
as the committee at its preceding meeting had taken 
the steps necessary for the consideration of the report 
by the association at the Cleveland meeting. The 
matter of enlarged office space for the association head- 
quarters was next discussed, but it was decided not to 
do anything along this line for the present. A plan for 
the printing of a simple catalog of manufacturer 
members' products and a list of these members was then 
approved. 

On the invitation of the committee B. J. MuUaney, 
who directs the activities of the Hlinois Committee on 
Public Utility Information, gave an explanation of the 
work of the organization. It has now been in operation 
for about nine months and has made itself felt as an 
agency for disseminating facts regarding the public 
utility business, outside the State as well as within, and 
is appreciated by the newspapers generally. Mr. Henry 
followed with a statement of a similar work which has 
been undertaken in Indiana, and endorsed the plan 
heartily. On his motion, the general scheme was ap- 
proved for wide application with the states as organiza- 
tion units. Barron G. Collier was appointed to rep- 
resent the association on a joint committee of represent- 
atives of interested utilities to foster the plan. Although 
a definite plan for such a joint committee has not yet 
been formulated there is reason to believe that it wiU 
be in the near future. 

The arrangements to be made for the continuation 
of the Washington office were next discussed, and a 
sub-committee, consisting of General Harries, Mr. 
Choate and Mr. Kealy, was appointed to report as to 
steps to be taken. The committee will present its 
report at a later meeting. The executive committee also 
considered the desirability of holding meetings of the 
association more frequently than twice a year. The 
preference, however, was for a continuation of the 
present practice except for the possible placing of 
the mid-year meeting date a few weeks later than 
present practice. 

The topic of possible changes in the method of con- 
ducting the association magazine Aera, was then 
brought up and it was decided to make it a special order 
for the next meeting. 



96 



Electric Railway Journal 



Vol. 55, No. 2 



Essentials of a Labor Contract* 

The Author First Outlines the Principles Underlying the Proper Relation of Employer and 

Employee and Then Sets Forth and Discusses Section by Section 

a Suggested Labor Contract 

By EDWIN GRUHL 

Assistant to the President The North American Company, 
New York City 



The losses incurred by strikes, from which we have not 
been exempt; the ceaseless discussion of the relation 
between labor and capital, incident to modern times; and 
the increasing sensitiveness of capital to social disquiet, all 
unmistakably suggest that, so far as possible, corporations 
employing large forces of men should ground their policy 
on equity, avoid unnecessary antagonism, and consequent 
hostile legislation. We owe this duty to society, and we 
owe it to the large interests confided to our charge. It may 
be impossible to prevent occasional disputes, but when they 
arise, we should not be found evidently in the wrong, and 
bearing the stigma of oppressing labor, or of neglecting 
wise and just rules for its employment and control. — 
Report of the Committee on Labor and the Graduated 
System of Compensation. — American Street Railway Asso- 
ciation, 1884. 

IN 1918 forty-six strikes of electric railway employees 
took place, involving approximately 17,000,000 people, 
of average duration of six days. During the first 
eleven months of 1919 seventy-five strikes occurred, 
involving approximately 40,000,000 people, of average 
duration of over nine days. The economic loss to 
communities thus deprived of local transportation 
service is staggering. In Pittsburgh the Public 
Defense Association brought suit against the Associa- 
tion of Employees and the receivers of the railvi^ay, 
for damages enumerated at $2,000,000, for a strike in 
that community which lasted four days. Losses no 
less real but concerning which no legal proof was 
available, probably exceeded this claim in substantial 
amount. 

Nor can it be said that our labor relations are now 
on the high road to settlement. Despite the very large 
increases in hourly wage rates which have occurred in 
the street railway industry, the amounts conceived in 
some quarters as necessary compensation to provide a 
minimum standard of comfort are far from being 
achieved. Testimony introduced before the Federal 
Electric Railways Commission indicated that a minimum 
comfort wage of .$2,000 per year was necessary. Apply- 
ing this minimum comfort wage to the total employees 
in the industry would amount to more in wages than all 
the gross receipts collected from the public. 

Co-operation Must Be Secured 

Personal service these days comes high. The electric 
railway industry performs a personal service. Nearly 
70 per cent of its cost of operation is paid in wages. 
Yet the public demand is that street railway fares 
remain cheap. Increases in fares have in only a few 
instances brought corresponding increases in revenues. 
The economic limit of what the industry may charge 
for its service has been reached in many cases. Under 
the present scheme of operation, the industry cannot 
support increased labor cost. Co-operation in fact as 
well as in theory, instead of antagonism between 
employer and employee, is necessary to approach the 



reasonably necessary return on capital invested and the- 
minimum comfort wage for labor employed. 

It is not believed that anyone in the industry resents 
the idea of real partnership with its employees. Perhaps 
one of the troubles which has contributed to the dis- 
rupted conditions which now confront the industry 
has been the endeavor by traction managements to 
carry the entire community burden on their own 
shoulders. It is far better to share the responsibility 
for successful public service with employees and with 
the public authorities. 

There are evidences of a change in the temper of 
the public toward strikes in essential industries. 
Paralysis of community activity is a terrific penalty to 
pay for the lack of a comprehensive plan of labor 
relations. It is too much to expect that the public 
will tolerate being deprived of the necessities of life 
because employer and employee cannot come to an 
understanding. Two alternatives are open. Either 
employer and employee must agree to an automatic 
and equitable determination of their diiferences, through 
contract and without recourse to the usual methods of 
industrial warfare, or the iron hand of government will 
be impressed upon the industry to the possible detri- 
ment of both. This has been the gradual trend in the 
strike-scarred countries of Australasia, where arbitra- 
tion is in large part made compulsory and definite 
penalties on employer or individual employee, as the 
case may be, are meted out for failure to observe the 
procedure prescribed by statute. 

Legislation That Hinders Rather Than Helps 

In this country such a movement is already under 
way. In Wisconsin street railway labor narrowly 
escaped being deprived of the so-called right to strike, 
and only an effective legal presentation on the uncon- 
stitutionality of such a law prevented its enactment. 
As it was, legislation was enacted at the 1919 session 
of the Wisconsin Legislature which created a State 
Board of Conciliation^ whose findings when approved 
are backed by the full plenary pow^er of the Railroad 
Commission of that State compelling performance upon 
the part of the employing company. The law does not 
compel performance upon the part of the employee, 
yet it may be seriously doubted whether, in the event 
an award of the Conciliation Board were unsatisfac- 
tory to the men, labor counsel would advise a strike 
against the State, all so-called constitutional rights 
notwithstanding. 

The Commonwealth of Massachusetts at its 1919 
special session' had before it "An act to secure con- 



*A paper read at hte mid-year meeting of the American 
Electric Railway Association, Cleveland, Ohio, Jan. 8, 1920. 



iSee Electric Railway Journal^ Vol. 54, No. 20, page 891. 

^'For text of bill see the issue of this paper for Nov. 8, 1919, 
page 873. An account of the defeat of the measure will be found 
in the issue for Dec. 20, page 1014, and editorial comment thereon 
in the issue for Dec. 27, page 1030. 



January 10, 1920 



Electric Railway Journal 



97 



tinuity of service on street railways under public 
control," a bill accompanying a report of the Street 
Railway Commission. This act makes strikes unlaw- 
ful and in addition to the usual powers inherent in 
the State to prevent unlawful acts, provides a unique 
means of compelling performance upon the part of the 
employee in the shape of a lock-out from the industry 
for a period not exceeding one year. Prohibition of 
strikes is also a feature of the Cummins railroad bill, 
now advanced toward passage in Congress. The Mer- 
chants' Association of New York has submitted to the 
Chamber of Commerce of the United States for ref- 
erendum vote a resolution : 

That the tenure of service of employees of public service 
corporations, particularly of transportation corporations, 
should be regulated by law in such manner that each 
person who voluntarily elects to enter such employment 
shall, as a condition of such employment, be legally obli- 
gated by contract to continue therein for a specified term, 
during which term he may not lawfully quit that employ- 
ment nor the corporation lawfully discharge him from its 
service, except as provided by such contract; and that 
such contract should provide adequate penalties for viola- 
tion of its terms by either party. 

Such regulation inevitably carries with it supervision 
and even definite statutory enactment of terms and 
conditions which may prove more onerous than helpful 
to the industry. It is far preferable to accomplish 
the same commendable purpose by contractual agree- 
ment satisfactory to both employer and employee. In 
the street railway business the question is not one 
of quarrelling over the lion's share of the products of 
industry but of mutual self-preservation. The prin- 
ciples of partnership must take the place of class 
antagonism and both employer and employee must 
present a united front in the interest of the industry 
on which their bare interest return and livelihood 
depend. 

Present Collective Bargaining Is One-Sided 

Collective bargaining is a loosely used term. Viewed 
merely as an idea without delineation of details or 
the methods by which it is practised, it finds a ready 
acceptance by the great mass of the public. The 
apparent struggle between a large accumulation of 
capital operating through a corporation on the one 
side and "downtrodden workman" on the other, pro- 
duces sympathy for the latter. This sympathy may 
come from either a sense of fair play or support of 
what is believed to be the under-dog. But bargaining 
in its present-day business sense contemplates the 
exchange of a definite quantity of goods or personal 
service for its equivalent value in money. Goods can 
be measured by length, area, volume, weight or the 
piece. Personal service can only be qualitatively 
judged by the hour, day or month. Bargaining for 
personal service means nothing until both sides to 
the trade can measure the quantity of service to be 
given in exchange for the agreed amount of money. 
The value of the service depends largely upon the value 
of the product produced thereby. Collective bargain- 
ing cannot be practiced in its complete sense until the 
output of labor is more accurately measured and a 
relationship is established between wages and selling 
price of product resulting from the labor for which 
such wages are paid. To paraphrase a recent visiter, 
the present-day collective labor contract requires defi- 
nitely what the employer shall pay and requires him 
io guess as to what he is to get ; it specifies definitely 



what the employee is to get and permits him to guess 
what he is to pay. 

There is no difference in opinion as to the object 
to be achieved by a labor contract. It is well stated 
in the extract from the proceedings of one of the 
first meetings of this association more than a gen- 
eration ago, quoted in the foreword of this paper. It 
is reiterated in the Code of Principles adopted by 
the association in 1914: 

The relation of adequate wages and efficient operation 
should always be recognized, but electric railways, being 
public servants regulated by public authorities, should be 
protected against excessive demands of labor and strikes. 

Orderly arbitration rather than strike was also 
emphasized at the convention of the Amalgamated 
Association of Street and Electric Railway Employees' 
Association in 1913. At this meeting the international 
president stated that the success achieved by that asso- 
ciation had been due to the fact that 

arbitration was the cornerstone upon which the association 
had been built. The assurance to the employer and to the 
public that in cases of dispute between us there will be no 
strike but that the matters in dispute may be submitted 
to arbitration has been the means by which you have 
secured your agreements and through which you have 
established your splendid organization. You are not only 
the employees of the corporation but you are also the 
servants of the public and you must take that fact into 
consideration. You must remember that the public senti- 
ment is more necessary in your contest that it is to any 
other class of workers in their contest. ... To abandon 
that principle now would be to change the entire policy 
of your organization and leave you practically without an 
anchor, and I feel you cannot afford to take that position. 
It would spell disaster and destruction to this magnificent 
organization. 

This is a commendable unanimity of purpose but in 
obvious contrast with the record of strikes in the street 
railway industry. 

Parties Are Equally Responsible 

Labor contracts have in the past taken the form 
of individual agreements and collective agreements. 
There may be advantages in the individual agreement 
as such, but it is not my purpose to discuss them 
here. It is the collective agreement in which most 
of the members of this industry are interested. 

The first essential underlying any labor contract must 
be the recognition that both parties to it are in every 
respect on the basis of absolute equality. There are 
few people in the industry today who would be unwill- 
ing to become party to a collective labor contract if 
they were assured that the responsibilities rested with 
equal weight on both parties. True collective bargain- 
ing assumes the right of employees to be represented 
as a group by fellow employees of their own choosing 
empowered by a majority vote to so represent them. 

It is also essential to any workable agreement that 
there be the greatest freedom of action and willingness 
by both parties collectively and individually in sub- 
scribing to the principles and future course of dealing 
which are laid down in the labor contract. There can 
be no coercion of employer by employee or employee 
by employer. The parties to the contract cannot be 
expected to fulfill its conditions in the spirit essential 
to success where such contracts are signed under 
duress. So-called labor contracts are too often merely 
treaties of peace readily construed as scraps of paper 
or records of mutual distrust. It is not believed that 
there is any disposition on the part of any employer 
in the industry to make any employee join what he 
does not want to join, or to prevent him from joining 



98 



Electric Railway Journal 



Vol. 55, No. 2 



what he does. Individual freedom to contract is an 
American birthright. 

There also must be no difference as to the definite 
responsibility of the parties. The complement of collec- 
tive bargaining is collective responsibility. But this 
does not mean that the theory of the collective agree- 
ment deprives the individual of the right to make an 
individual contract. Equality of bargaining power 
brings with it equality of obligations, and it is only 
right and proper that the collective agreement be 
personally subscribed to by all existing and incoming 
employees so there can be no dispute as to its terms 
and conditions and no question as to the individual 
responsibility to observe it. If there is to be collective 
bargaining, the individual must agree to bargain collec- 
tively, and individually to adhere to the collective 
agreement. The individual agreement to bargain 
collectively sounds like a paradox but has a real exist- 
ence and is the outgrowth of a studied desire to 
eliminate the disadvantages of the individual contract 
and the ordinary collective agreement. 

There seems to be a mistaken economic notion that 
labor contracts are peculiar or different from ordinary 
contracts used to sell goods, and there is considerable 
nonsense about an employee binding or selling himself 
into involuntary servitude. There is, in fact, no dif- 
ference between contracting to sell productive effort 
concretely as a finished product or as the labor part of 
that product in the course of manufacture. Every 
money consideration is, in fact, convertible into terms 
of labor, and the individual who complains most against 
tying himself down definitely to a job has no com- 
punction about contracting for the equivalent of several 
weeks' compensation in buying a victrola on the in- 
stallment plan or in renting his house. A contract 
for personal service is as proper for a street car 
employee as it is for a baseball player or a prima donna. 
Nor should there be any greater hesitancy about sub- 
scribing definitely to terms, conditions and conduct at 
the time employment is entered into in this industry 
than in the case of government officials, policemen and 
firemen in subscribing to an oath of allegiance. It is 
human nature to wish to reserve freedom of future 
action but it is far better that this freedom be restricted 
by individual choice than by government regulation. 
Where all the advantages of .bargaining collectively 
have been assured to the individual and full rights of 
collective action have been established, the individual 
is not so hampered that he can conscientiously refuse 
to subscribe individually to a contract that has been 
secured for him collectively. 

Collective bargaining as now practiced seldom carries 
with it individual sanction. There is the usual delega- 
tion with no further credentials than their ovra 
assurances, the usual contract when these minds have 
met and smoked many cigars, the usual slim but well- 
cappered mass meeting, and so forth. 

A Few Preambles are Stated 

Having brought about a real meeting of minds and 
placed both parties in the same position of responsi- 
bility toward their obligations, we come to the pre- 
ambles of the contract itself. The purpose of the 
contract may be thus expressed:' 



^This and following clauses are intended merely as illustrative 
in definite and simple form of the principles of a labor contract 
embodying the writer's individual views. They do not textually 
follow present practice although in many cases are not incon- 
sistent with the manifest intent of existing contracts. 



Whereas, it is agreed by both parties, that they are 
jointly engaged in performing a public service and it is for 
their mutual interest and the convenience of the public 
that there should be continuous and uninterrupted street 
railway service. 

We may also recognize in the preamble the reciprocal 
rights and obligations that reflect the relation of the 
parties one to the other and that are the legal con- 
siderations under which the agreement is formally 
entered into. What are these diverse interests which 
each party must recognize? The right on the part of 
labor to a wage which is at least a living wage and 
in addition compensation for added skill and effort; 
for hours which at least do not undermine health, with 
the possibility of added hours for diverse interest and 
recreation; for conditions of employment that will at 
least minimize the danger of accident and in addition 
will go as far as possible to make work a pleasure. 
On the other hand there should be a return at least 
sufficient to induce capital to flow into the business 
with a possibility of additional return for efficiency 
of management; hours of labor at least within those 
necessary to perform public service with a betterment 
to hours which will mean the maximum utilization 
of equipment; working conditions that at least promise 
satisfaction of service to the public and that will in 
addition provide successive increments of good-will and 
increased prosperity. 

Whereas, it is agreed by both parties that harmony and 
co-operation are essential to assure to employees as a mini- 
mum requirement a living wage and such restriction of 
hours and conditions of labor as are essential to health, 
safety and well-being; to assure to the company as a mini- 
mum requirement a return necessary to induce capital into 
the business and satisfactory and adequate service as re- 
quired by its duty to the public; and permit the sharing 
of such additional returns by both parties as may be the 
product of their efficiency, management and productive 
effort. 

Some Mutual Provisions 

With this description of the fundamental objects and 
the reciprocal rights and obligations of the parties, we 
come to the provisions of the contract itself, with the 
separate undertakings as to future conduct. The 
requirement is that these must be mutual, must be 
possible of achievement, must be enforcible and not 
against public policy, and withal, must be definite and 
simple. 

Duration of the contract, if fixed, should be for a 
long period, but preferably indeterminate. 

This agreement shall continue in force for an indeter- 
minate period except that it may be terminated by either 
party upon giving six months notice to the other party 
of its intention so to do. 

The individual right to quit and the right of the 
company to discharge are important features which are 
certain, if not mutual and definite, to lead to grievances 
and conflict. The individual right to leave at any time 
carries wih it the correlative right to discharge at 
any time. The individual right to leave after notice 
or after sufficient time to efficiently fill the place carries 
with it the reciprocal obligation of discharging only 
on notice and for cause. If the company is obligated to 
pay fifteen days' wages upon discharge, the employee 
ought similarly to waive fifteen days' wages on quitting 
work. 

It is agreed that the company shall not discharge any 
member of the association from its employment without 
adequate cause and the association agrees that its member- 
ship will not cease their employment with the company at 
any time except upon giving the notice required to cancel 



January 10, 1920 



Electric Railway Journal 



99 



this agreement. Individual members may leave upon giving 
such notice as the company may from time to time require, 
and the company shall not require any notice longer than 
that required to efficiently fill the place of the member about 
to leave. 

A Basis of Wages and Relation op 
Wages and Rates 
With a contract of indeterminate duration it is desir- 
able that some automatic basis of wage adjustment be 
provided in the contract applicable to all employees of 
the company. While definite wage rates may be fixed 
in the labor contract, a situation may readily arise, as it 
has in the past two years, where the resulting compen- 
sation becomes too low to attract and hold employees in 
the industry. The contract fails because performance 
under it has become impossible. The question of how 
large an increase in wages is justified in labor contro- 
versies is now being solved under fairly standard pro- 
cedure by the device of index numbers. The wage is 
calibrated with the cost of living. Such a method has 
been repeatedly used by arbitration boards before the 
war, was used by the Railroad Administration in deter- 
mining the increase in railroad wages under government 
operation, by the War Labor Board in its determina- 
tions, and recently by the government in fixing the 
advances to which coal miners were entitled. 

This basis of adjustment in wages is readily possible 
in competitive industries where no restrictions are 
placed upon the cost at which the product of the enter- 
prise will be sold. Even here, as has forcibly been 
brought to the attention of the public in the recent 
coal wage controversy, there is a direct relation of 
wages paid to selling price. The provision to regulate 
wages in accordance with the cost of living may become 
impossible of performance in an industry where the 
price of service is not permitted to increase with its 
cost. The ConciUation Board law of Wisconsin recog- 
nizes the necessary relation of rates of charge for 
service to wages paid. Several of the public service 
commissions while not definitely empowered to deter- 
mine wages, have under general arbitration clauses 
accepted this same responsibility. There is no reason 
why the wages of labor should not be based on the 
same equitable considerations as the wages of capital. 
No comprehensive plan of regulation can succeed which 
does not take into consideration the fair return to both 
parties to the labor contract. 

Consideration of the reciprocal rights of employees 
and the company as expressed in the preamble suggests 
the provision: 

The company agrees, when and as provided with the 
revenues necessary, therefor, to pay to all employees now 
receiving |150 per month, or less, increased wages which, 
when compared with those being paid in 1913, compensate 
the employees for the increased cost of living, and to adjust 
wages either upward or downward in the future in order 
tht the same may be kept in substantial accord with the 
cost of living as measured by the index number during 
each half yearly period in each calendar year. 

The cost of living is the variable component of the 
total wage paid, and the increase must therefore be 
based upon that portion of the wage representing the 
cost of living in 1913. 

The first $50 of monthly compensation shall be increased 
in the proportion that such index number of the cost of 
living during the period bears to the same number aver- 
aged during the year 1913. 

These provisions relate, however, only to the bare 
standard of subsistence for both employees and the 
company, and provision is properly made for the divi- 



sion of the increased increment of earnings arising 

from increased productivity. 

The company agrees to establish profit-eharing plans by 
which employees may earn additional compensation by 
reason of their increased productivity. 

Application of these provisions may readily be made 
to the various occupations employed and a scale of 
wages for each period ascertained and recorded in 
memorandum agreements attached to the labor contract. 
This is particularly convenient where the plan of collec- 
tive bargaining desired by the employees requires 
separate representation for each occupation. 

The agreements as to hours and working conditions 
are not so simple. One source of conflict in many labor 
contracts are the multifarious provisions on relatively 
unimportant operating details. Obviously, no labor 
contract applicable to the entire industry and all occu- 
pations can be made a manual of operating procedure 
or a book of rules, particularly where conditions of 
operation are subject to such frequent change as in 
the business of local transportation. As a consequence 
a breach of contract is not only possible but inevitable. 
What is needed is not a catalog of possible grievances 
but machinery for settling individual grievances effi- 
ciently and promptly. 

A street railway must supply service when and as 
demanded. Its hours of labor are not of its picking 
and choosing, and to talk in generalities of an eight- 
hour day, penalties for overtime and days of rest, is 
to forget that it is an industry in which the whistle 
never blows. It is a misfortune for both the employee 
with mealtimes and bedtimes at wholly unorthodox 
hours and the company with its equipment idle during 
the greater part of the day, that our communities are 
continuously getting into worse habits of transporta- 
tion. But it is a condition of the industry, which 
both must face with the spirit of accommodation and 
which can be very much remedied by co-operation. 

How Shall Grievances Be Settled? 

Just what plan of settling grievances is adopted 
depends upon the plan of collective bargaining employed. 
Representatives selected by employees for the purpose 
of negotiating on wages and form of additional com- 
pensation for efficiency can also serve as the medium 
through which any complaints as to hours and work- 
ing conditions are taken up with the management. 
Obviously, the particular form of representation 
required is a question for the decision of employees. 
No company desires to interfere in any way with the 
freedom of approach on any question afl'ecting the 
employees and the company. It is desirable, however, 
that the procedure involved shall be organized, routed 
and dispatched in the same way as the other operating 
problems which confront the management. The repre- 
sentatives nominated and elected by the employees for 
different branches of the business may be knowm as 
grievance committees, labor adjustment committees, 
co-operative councils or by any other designation. The 
procedure by which such employees are chosen is prop- 
erly made part of the contract as the company has the 
right to insist that representation is permanent and 
satisfactory to each individual employee as part of his 
contract for service. Until such committees are well 
established and a code of procedure has been worked 
out, it is undesirable to limit in any way the discus- 
sion of problems of wages, gain-sharing, efficiency, 
hours, continuity of employment, improvement of work- 



100 



Electric Railway Journal 



Vol. 55, No. 2 



ing conditions, safety, or discipline and discharge. 
There is naturally a tendency to regard many of these 
questions as an exclusive function of the management 
which can in no way be debated without interfering 
with the necessary discipline which must accompany 
efficient service. However, where such committees have 
been given free scope of action, the general experience 
has been that self-government has been a success and 
that employee representation carries with it responsi- 
bilities which are not disregarded. One company has 
worked out a complete code of service violations for 
its transportation department, with m.aximum and mini- 
mum penalties for specific violations ranging from 
tardiness to dishonesty. This company has left all 
appeal on these penalties to a committee of three, two 
of which are duly elected representatives of the em- 
ployees of the station, and the third a company repre- 
sentative. A majority vote of this body upon which 
employees' representation is two-thirds, is binding. 
There have been few appeals and, strange to say, such 
as have been made have been decided against the 
appealing employees. Instances have even occurred 
where the company representative was out-voted on a 
recommendation of lightening the penalty of the fel- 
low employee. In this case the operation of discipline 
has been tied into the operation of a bonus plan accord- 
ing to which the bonus fund is divided among the 
undisciplined employees. 

The most satisfactory adjustment of runs to traffic 
demands is also a matter upon which co-operative action 
of committees of employees and company representa- 
tives has resulted in a solution of the problem of spread 
of duty and hours of service which is economical, con- 
venient and mutually satisfactory. By this means a 
normal distribution of spread of duty has been evolved 
which conforms to best established practices, but the 
plan permits of deviation in those exceptional traffic 
conditions which every street railway occasionally faces. 

It is mutually agreed that the employees in each depart- 
ment shall have the right to elect representatives to be 
known as adjustment committees. Such committees shall 
generally consist of two members from each group of em- 
ployees having headquarters at different geographical loca- 
tions and belonging to the same department, provided that 
the employees shall have the power to determine the number 
of members to be represented by each such adjustment com- 
mittees and to provide for as many of such committees as 
may be needed for the convenient transaction of business. 

Memorandum agreements respecting wages, hours, or 
working conditions may be executed between employees in 
any department of the company represented by such com- 
mittee and the superintendent of such department. Such 
agreements when approved by the parties hereto shall be 
in full force and effect as if they were incorporated in this 
agreement at the time of its execution. 

Making Arbitration Compulsory 
The possibility of disagreement between the parties 
carries with it the necessity of an adequate provision 
to insure arbitration. The usual provision for three 
arbitrators may be made, one being chosen by each 
of the parties. Where possible, however, it is desirable 
that the third arbitrator be definitely determined so 
that no opportunity for dispute may arise because of 
failure of the arbitration provision to operate. Where 
commissions have been established by the state, with 
definite powers over the rates of fare which the street 
railway is permitted to charge the public, such ques- 
tions at least which involve the minimum requirement 
of the employees for a living wage and of the company 
for a return necessary to induce capital into the busi- 
ness, should be referred to it. This is particularly 



essential where the question in dispute is whether 
increases in wages can be paid from the returns being 
earned by the employing company. It is also essential 
that the scope of arbitration cover not only disputes 
as to wages, hours and working conditions, but ques- 
tions as to the interpretation of the agreement itself, 
thus precluding any possibility of the plea that the 
issue involved is not arbitrable. 

If any dispute between the parties hereto shall arise 
concerning the interpretation of this agreement or respect- 
ing wages, hours or working conditions, which cannot be 
settled satisfactorily to both parties by negotiation, then 
it is agreed that such dispute shall be referred to a board 
of arbitration consisting of three members, one of which 
shall be chosen by each party and the third shall be 

The decision of any two of these 

arbitrators shall be final and binding upon both parties. 

Agreement to Abandon Usual Methods op 
Industrial Warfare 

The acceptance of arbitration carries with it the 
abandonment by both parties of the usual methods of 
industrial warfare. This understanding may be made 
definite by prohibiting participation in any interruption 
of public service. This does not involve the individual 
right to quit employment for which provision has 
already been made, but concerted or collective action 
or conspiracy with this end in view. 

It is mutally agreed by all the parties that they will not, 
nor will any of them permit, encourage or take part in 
any lock-out, strike or other interruption of the public 
service, but will proceed to settle all causes of difference 
by arbitration as herein provided. 

The foregoing provisions embrace in simple form a 
complete contract, the undertakings of which are mutual, 
possible and it is believed enforcible. 

Enforcing the Contract 

The simple reason why many so-called labor- contracts 
fail is that they are too often regarded as mere gentle- 
men's agreements not enforcible against anybody. They 
are regarded as establishing at most a usage or cus- 
tomary standard which the employee may disregard 
without hindrance. We are frequently reminded in 
defense of such an idea that enforcing specific per- 
formance of a contract for personal service is involun- 
tary servitude or slavery. We are also advised, with 
however less conviction, that the collection of damages 
for breach of contract is impracticable, and that labor 
organizations are without liability and in no sense 
responsible for the acts of their individual membership. 
The individual members are described as downtrodden, 
struggling, property-less beings, upon whom the inter- 
ests of society impose the same disability to make 
contracts as the law applies to infants and lunatics. 
The picture is not flattering to the type of independent 
American employee with whose loyalty and fellowship 
this industry is familiar and it is surprising that such 
medieval notions should so often be aired by profes- 
sional labor counsel. The average employee will be 
found as honorable in the observance of his plighted 
word as any other individual. He is not seeking rights 
without obligations, and while his conception of lawful 
obligations may be limited, he appreciates fair play and 
detests a welcher. We may safely expect him to regard 
voluntary servitude as honorable service. 

If need be, a collective agreement properly drawn 
is enforcible. Individuals may quit work "singly or 
in concert" if the Clayton act applies, but they cannot 
conspire to wreck contractual relations. And if coUec- 



January 10, 1920 



Electric Railway Journal 



101 



tive bargaining is safeguarded by the individual con- 
tract, enforcement is made doubly sure by injunction 
■with its various contempt penalties, by liability for 
damages of the employees' organization or individuals, 
or by fines and penalties, either imposed by contract 
or by general statute, as suggested by the proposed 
law for street railway employment in Massachusetts. 

Strengthening the Labor Union 

A general objection is anticipated to the form of 
contractual relation described. It may be urged that 
it minimizes the function of employees' organizations 
through provision for individual contracts, and that it 
is designed to weaken rather than strengthen the posi- 
tion of the labor union. This is not the intention nor 
the eft'ect. Under a labor contract such as outlined, 
it is entirely possible, and in many ways highly desir- 
able, to deal with a union of employees which will 
assume collectively the responsibilities which under a 
looser form of association must be shared by the 
individual employee. Mutual provisions of such an 
arrangement may provide that the union shall supply 
the company with all the competent employees which 
the company may require in order to effectively carry 
on its business and perform its duties to the public, 
and that the company shall employ only such applicants 
for positions as indicate their willingness to become 
members of the union. It may provide on the one 
hand that the union take over the training schools 
being conducted by the company, and assume responsi- 
bility for the integrity of its members ; on the other 
hand, that the company obligates itself in considera- 
tion of this service partially to reimburse the union 
for its educational, sickness, accident, death and pen- 
sion benefit expenses. The liability for damages because 
of breach of contract, largely assumed by the individual 
employee in the contract outlined, can be limited 
through the formation of a corporation under the laws 
of the state in which the company operates. The 
corporation may have a sufficiently large authorized 
issue of shares of capital stock for each of the present 
employees and for the increase in numbers, and provi- 
sion may be made that employees when entering 
employment provided by the union, shall subscribe for 
one share of stock of relatively large par value, making 
an initial payment and assuming a future liability for 
the balance, and that the holder of each share of stock 
will be entitled to one vote at meetings of the corpora- 
tion. The stock may then, together with the additional 
obligation incurred by the employee in becoming a 
shareholder, be deposited with the company as a guaran- 
tee that the employee shareholders of the union will 
faithfully carry out their contract with the company. 
In the event that the union should break its contract 
by concerted cessation of work, the company may sue 
the union and the union in turn may call its unpaid 
subscriptions to pay damages in event that such are 
awarded. 

Evolution of the Union 

It is probable by gradual process of evolution that 
the scope of the employees' union will be much 
extended and its usefulness improved. A successful 
labor organization, however, is one which will supply 
all the benefits of co-operative action demanded by 
employees; which will not discriminate in favor of 
specific occupations or trades but will occupy the entire 
industry, giving the benefit of its collective bargain- 



ing power to every occupation however humble and 
small in number; which will provide adequate insur- 
ance against sickness and death, including medical 
attention; which will provide pensions when the age 
of retirement is reached ; which will provide educational 
facilities to increase the productive capacity of the 
individual and increase the possibilities of higher re- 
turns; which will encourage and advocate rather than 
hamper the introduction of more efficient methods and 
labor-saving devices ; and which will recognize its 
responsibility in securing adequate rates of fare and 
insist on dividing the gains growing from such co-oper- 
ative effort — an organization whose claim for support 
to its membership will not be solely one of parading 
cut and settling disputes or maintaining its leadership 
but will be one in the real interest of the employee. 



San Antonio Has an Inbound- 
Outbound Zone 

Adopts Plan for Sixty-Day Trial in Lieu of Six or 
Seven-Cent Fare Which Court Decision 
Makes Possible 

THE San Antonio Public Service Company put into 
operation on Sunday, Nov. 30, 1919, a new 
system of fare collection which it has called a "zone 
system" in its announcements to the public. Summed 
up in a word, this plan consists of collecting a 5-cent 
fare to ride into the business district and another to 
ride out of it, or two fares across the city. 

All but one of the seventeen lines operated are what 
the Texans call crosstown lines, though more generally 
known as through routes. They all enter the central 
business district from an outlying district on one side 
of the city, pass through this district and extend to 
another outlying residential section on the opposite 
side of the city. Until Nov. 30 the fare was 5 cents 
for a ride of any length, or from one side of the city to 
another, and transfers were free. Beginning on this 
date, all principal downtown transfers were abolished 
and each line was divided into two parts, the ride down- 
town and the ride uptown, and a 5-cent fare collected 
for each part of the ride. The zone limit was made the 
first side, on the inbound trip, or a central zone defined 
as the "dovsTitovvm loop." This loop comprises the area 
within Houston Street, Alamo Plaza, Commerce Street 
and Main Avenue — six blocks long and three wide. 
Passengers inbound toward this loop pay as they enter, 
boarding at the rear of the car and alighting from the 
front exit. When the car reaches the first side of the 
loop, however, passengers are required to leave by the 
rear door. Passengers boarding the car from this 
point on, in the loop, and all other outbound passengers, 
get on at the front and leave by the rear door, paying 
as they leave. Passengers who desire to ride to a 
point within the loop not reached by the car on which 
their ride originated are permitted to change to the 
first car available and no transfer is necessary. Like- 
wise, passengers within the downtown loop may take 
the first available car to carry them to the point from 
which they can get the proper outbound car. In this 
case, also, no transfer is issued and the fare on the 
outbound car covers the entire ride. This particular 
part of the scheme makes it possible for passengers to 
board a car within the loop and ride to the opposite 
side of the loop or to any point within and get off 



102 



Electric Railway Journal 



Vol. 55, No. 2 



without paying any fare. At the end of the first 
week's trial, the amount of such free riding was be- 
coming noticeable. It is intended, of course, that pa- 
trons whose ride originates and terminates within the 
loop will enter at the front and pay as they leave. A 
passenger who rides through the city on the same car 
pays one 5-cent fare when he gets on and another 
when he gets off. 

The installation of this new plan of fare collection 
met with very little opposition on the part of the public, 
more than likely because an advertising campaign had 
been conducted by the company which had brought the 
people to a fairly general realization^ that some form 
of relief was necessary. The fact that this particular 
plan was recommended by the City Commission, as re- 
lated below, no doubt had a bearing on the absence of 
complaint also. 

In general the company felt, at the end of the first 
week, that if anything the fare collection under this 
plan was being done better than before with the straight 
pay-enter system. There are only three heavy unload- 
ing points. on the system at which any great number 
of fares must be collected at one stop, but none of these 
has been heavy enough to cause any serious delay or 
manifestation of impatience on the part of passengers. 
The near-side stop has been retained for both the pay- 
enter and pay-leave services. 

The primary object of the new zone scheme was of 
course to increase the revenue, but the result up to 
the end of the first week was very disappointing in this 
respect. The two-fare plan apparently had caused 
many people to refrain from riding, had added a few 
more patrons to the jitney competitors who now give a 
slightly longer ride for 5 cents in a few cases than the 
railway, and had been the cause of the military post 
commander setting up an army bus service to bring 
employees into the city, saying that his was necessary 
in order to hold their services. 

Events Leading Up to Adoption of Zone Plan 

The San Antonio company's present zone plan is the 
outcome of about a year's effort to secure increased 
revenues, though present indications are that it will 
not mark the end of this effort. About a year ago the 
company went before the Commission Council with a 
petition for a 6-cent fare. A long hearing followed 
during which the company proposed, as an alternative 
to a flat increase in fare, a zone plan about the same 
as the one now being tried. After the hearings had 
been concluded, the commission reached the decision 
that the company ought to have relief but that inas- 
much as its franchise specified a 5-cent fare, the com- 
mission doubted its authority to grant any alteration 
of the contract. The company made a second petition 
to the commission and again received recognition of 
need for relief but no means of providing it. 

The railway then brought the matter before the 
federal court on the ground that strict enforcement of 
the franchise meant confiscation of property without 
due process of law, and that the contract had been ab- 
rogated years ago when the State Legislature passed 
the bill providing for half-fares for all school children. 
In this petition before the court, the company asked for 
the right to charge a 7-cent fare. After consideration 
of the case, the court issued an injunction against the 
city's enforcement of any of the ordinances passed to 
reinforce the commission's position of holding the com- 



pany strictly to the terms of the franchise with its 5- 
cent fare provision. The court made no reference what- 
ever as to what rate of fare might be charged and ap- 
parently left the matter wide open for the company to 
set up whatever fare it chose. 

At this stage of the controversy, the commissioners 
came to the company and expressed their intention to 
appeal the decision of the court but offered to make 
it a friendly case if the company would agree to give 
a sixty-day trial to the zone plan which is now being 
operated. Desiring to keep within the graces of the 
authorities where this was practicable, the company 
decided to try out the zone plan. If this gave the 
necessary increase in revenue, to enable the company 
to earn a reasonable return on the invested capital, 
then this would be fully as satisfactory as a flat increase 
to 6 or 7 cents, and there are many advantages in re- 
taining the nickel as the fare unit. If this plan does 
not accomplish the object in view, it seems likely that 
a flat fare of 7 cents will be adopted. 



Proposed Electrification in South Africa 

PLANS have been prepared for the electrification of 
sections of the South African Railways, involving 
a total of 860 miles, or a single-track equivalent mileage 
of 1219. An expenditure of more than $50,000,000 
will be necessary. The three sections involved in the 
present plan are between Cape Town and Touws River, 
Komati Poort and Randfontein, and Durban and Bay- 
side respectively. Direct current at 3,000 volts for the 
contact system; three-phase, 50-cycle distribution, and 
regenerative control on some sections, are among the 
recommendations. 

Three types of locomotives are proposed. The freight 
locomotive would be designed for hauling a 1,200-ton 
train at a speed of about 40 m.p.h. on the level, or 
one of 1,800 ton, at 30 m.p.h. Motors would have 
a capacity of 2,800 hp. on a one-hour rating, a total 
of four double motors being provided. The locomotive 
would be in two double-truck sections or units, artic- 
ulated together, each having two driving axles, a jack- 
shaft connected through crank and siderod to the driv- 
ing axle, and a pair of motors geared to the crankshaft. 
The locomotive is estimated to weigh 134 tons and 
produce 48,000 lb. tractive effort. The passenger loco- 
motive designs are similar in general construction, ex- 
cept that they provide for gearing for a speed of 55 
m.p.h. on the level, for the exertion of a tractive effort 
of 13,000 lb. at the one-hour rating of the motor, and 
for an estimated weight of about 81 tons. The third 
type of locomotive mentioned is a shunting locomotive 
of about 68 tons weight, to produce a tractive effort 
of 14,000 lb. at 12 m.p.h. The estimated profit for 
electrical operation on these divisions amounts to 
nearly $4,000,000 annually. 



The Imperial Government Rys. of Japan announce a 
decision to extend the elevated railway system of Tokyo 
to accommodate both steam railway and local electric 
railway lines. The extension will connect the steam 
lines which are now separated by a gap in the city 
and will also greatly improve the rapid transit system 
in the capital; It is planned to complete this work 
within the next two years. This statement will be of 
interest in supplementing the article by Shiro Sano, ap- 
pearing in the issue of this paper for July 5, 1919, 
page 4. 



January 10, 1920 



Electric Railway Journal 



103 



Maintenance of Way for Street Railways 

The Organization and Methods Employed for Carrying on the Work 
Necessary for Maintaining the Tracks of the Con- 
necticut Company Are Described 

By W. R. DUNHAM 

Engineer Maintenance of Way The Connecticut Company, New 
' Haven, Conn. 



THE lines of the Con- 
necticut Company run 
along the shore of Long 
Island Sound for a dis- 
tance of about 40 miles 
from Stamford on the 
west to New Haven on the 
east. Two of the lines turn 
inland, one running up 
the Naugatuck River valley 
about 30 miles to Water- 
bury and one running 
north about 40 miles to 
Hartford. These two lines 

are connected by a line running up the Housatonic River 
Valley from Stratford to Derby and by another cross- 
ing west from a point near Meridan to Waterbury. 
Of the 680 miles of track 45 per cent is unpaved, 17 
per cent is paved with macadam, 8 per cent with a better 
grade than macadam, while 30 per cent has a so-called 
permanent pavement on a concrete foundation. 

The organization for carrying on this work consists 
of the maintenance-of-Avay engineer who reports to the 
vice-president and general manager, three assistant en- 




STEEL TIE CONSTRUCTION 



*Abstract of a paper read before the New England Street 
Railway Club, New Haven, Conn., Dec. 4, 1919. 



gineers, six assistants to 
take care of surveys, 
drafting, etc., and a clerk. 
Each assistant engineer is 
assigned a definite territory 
of about 221 miles of track. 
It is his duty to make esti- 
mates and generally su- 
pervise all work, to insure 
that standards are followed 
and to act as the eyes of 
the department. He makes 
frequent inspections of his 
division, and in company 
with the roadmaster visits all the work on his division. 
There are eleven operating divisions on the property 
under' the jurisdiction of the local managers or superin- 
tendents, but the divisions of the assistant engineers 
combine two or more operating divisions. There are 
four roadmasters on the property with headquarters 
at the larger centers, and one general foreman acting 
as roadmaster. This gives an average of 142 miles 
of track per roadmaster and 95 miles for the general 
foreman. Like the assistant engineers the roadmasters' 
divisions are not necessarily the same as the operating 
divisions, but in some cases include two or more. 




JOINT FAILURE AND METHOD OF RECLAMATION 
1 — Failure with Dutchman cut in. 2 — Ready to weld using old plates. 3 — Joint after welding. i — Joint after grinding. 

5 — Ready for service. 



104 



Electric Railway Journal 



Vol. 55, No. 2 




RAIL JOINT PLATE AND ITS 
APPLICATION 

Top — Under side of plate. Bottom — 
Side view of plate applied 



The percentage of paved and upaved track per road- 
master is, for Bridgeport, paved, 58 per cent; unpaved, 
42 per cent; for New Haven, paved, 78 per cent; un- 
paved, 22 per cent; for Hartford, paved, 49 per cent; 
unpaved, 51 per cent; tor Meridan, paved, 37 per cent; 
unpaved, 63 per cent. These figures do not represent 
the paving conditions in these cities, but the cities are 
the headquarters of 
the roadmasters and 
are used to differ- 
entiate the various 
headquarters. 

In addition to the 
roadmasters, there 
is a general foreman 
of welding, who re- 
ports directly to the 
engineer of mainte- 
nance of way. This 
foreman of welding 
has charge of all the 
welding work and 
trains the operators. 
He keeps the ma- 
chines in repair and 
has general supervision of this work. A foreman in the 
city section averages about 20 miles of track during 
the six months from October to March inclusive, one 
man for each mile of track from April to June inclusive, 
and one man for each 2i miles of track from July to 
September inclusive. 

Ballast Is a Vital Part in Track Construction 

The several parts of construction done by the way de- 
partment will be considered in the order that they occur 
on the company's track record chart. 

In regard to ballast, there is not much to be said as 
far as maintenance is concerned, as this more properly 
belongs under construction work. We use a great deal 
of broken stone in new construction and make use of old 
macadam taken up in connection with improved pave- 
ments in cities. We also use power-house cinders for 
adjoining suburban lines. 

With a typical section of track construction, for the 
Hartford division, due to the character of the soil we 
first lay a concrete trough, the bottom of which slopes 
from the sides to the center. A ballast of broken stone 
is laid on this and at low points it is drained by tile pipe 
into city manholes. At the sides the concrete is built 
up so as to make side walls. We thus have a concrete 
trough filled with broken stone. On this ballast we lay 
our standard ties and rails. A 6-in. concrete foundation 
is then laid on top of the ties and ballast for the pave- 
ment. The soil is a brick clay on the Hartford 
division and during the winter and spring months 
this works up through telford or broken stone ballast 
laid without concrete. The above described method 
was developed to meet these conditions and has worked 
very well. 

Tie Construction Is Similar to General 
Practice 

We use ties 6 in. x 8 in. x 8 ft. long, spaced 24 in. 
center to center and beginning 12 in. from the rail ends. 
On single tracks the ends of the cross ties are lined true 
on the right-hand side going either north or east. 
Where one end of the tie only is exposed as in side loca- 
tions on highways, the exposed ends are lined true, while 



with double tracks the outside ends of ties are lined true. 
We are not using creosoted ties on our lines, although 
personally I favor their use on suburban "tracks, either 
unfilled or back-filled, and in macadam or similar pave- 
ment provided there is little likelihood of the tracks 
being rebuilt for permanent pavement before the esti- 
mated life of the tie expires. 

In permianent pavement we have practically standard- 
ized on steel ties as furnished by the International Steel 
Tie Company. An accompanying illustration shows this 
type of construction as used on our lines. These ties 
are spaced 6 ft. on centers, the joint ties being placed 
directly under the joints. The bearing surface of these 
ties under the rails is 3 ft., so that there is a space of 
about 3 ft. between bearings. As the bottom two-thirds 
of the rail is imbedded in concrete, this helps to support 
the rail, and results so far have been very satisfactory 
with no perceptible rail movement. 

The use of steel ties cuts down the amount of grad- 
ing, both in width and depth, so that the higher first 
cost of steel ties over wood ties is decreased by the 
smaller number used and the lower cost of excavation. 
By welding the face of the rails to the ties, the cost of 
crossbonds, labor and material can be eliminated, thus 
further reducing the cost. The labor cost of laying this 
type of track is less also as the ballast can be spread to a 
level surface at the tie base grade and the ties can be 
laid directly upon it, obviating any appreciable lift for 
surfacing except for final adjustment. There are also 
one-third fewer rail fastenings per foot of track for 
steel ties and practically no gaging. 

"Fifty-seven Varieties" op Rails Used 

Our standard T-rails are 5-in. 80-lb. A.S.C.E. section 
for all work except where it is contemplated that a per- 
manent pavement may be installed, for which this rail 
will not be adapted. For permanent pavement we use 
7-in. 95-lb. or 6-in. 100-lb. T-rails, A.R.A. Type A, except 
in one city where by original grant a grooved girder 
rail must be used. In this city 9-in. 125-lb. Boston 
grooved girder rail is the standard. We specify Besse- 
mer process steel for T-rails and A.E.R.A. standard 
open-hearth high-grade carbon for grooved girder rails. 

As our lines are made up of a combination of those of 
former individual com.panies, we have, in our tracks 



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jacking out TRACK 

fifty-seven different rail sections not including guard 
sections in special work. Since 1914 we have gone into 
the reclamation of old rails rather extensively, and dur- 
ing the past five years 4776 tons of old rails have been 
reclaimed by electric welding and grinding ; 6520 tons of 
new rails have been used in this renewal. This repre- 
sents a net saving in cash of $200,000 based on pre-war 
prices for new rails and scrap. By the use of this rail 



January 10, 1920 



Electric Railway Journal 



105 



about sixty freight cars per year were released for other 
uses. In addition, the cost of handling new and scrap 
rails was avoided, thereby saving labor. Practically all 
of this rail has seen from fifteen to twenty years of serv- 
ice. From present appearances, the rails are good for 
as long a service as they have already given. The aver- 
age annual cost for maintenance of this track has been 
from 1.7 cents to 3.2 cents per foot. This maintenance 
consists of building up with the electric welder and then 
grinding. 

Rail Welding Has Proved Very Useful 

Our standard joints for both high and low T-rails are 
the continuous joints, 24 in. long, drilled "5-4-5" for 
four bolts. We use 1-ln. bolts for high T-sections and 
i-in. bolts for low T-sections. All bolts have "O.K." 
nuts v,^hich consist of a patented nut and nut lock com- 
bined. For grooved girder rails we use twelve-hole 
channel bars with 1-in. bolts and "O.K." nuts. From 
1908 to 1911, inclusive, we welded 15,000 joints in vari- 
ous sections of rails by the Lorain process. These were 
mostly high T and girder rails, and this welding has 
been a success. Some of the welded sections have had 



widths of base, as this enables us to carry but one stand- 
ard plate in stock. Our standard plate will fit many of 
our rail sections and there is no necessity for right and 
left plates. 

Bent Joints May Develop Serious Track 
Conditions 

A great many joints, especially in suburban tracks, 
become surface bent. These bends may not extend more 
than a few inches back from the rail end, but if not 
taken care of properly, they will develop a serious track 
condition. These bends are caused by the use of joint 
plates of too light a section, loose bolts, or general lack 
of attention. Our first step in remedying this condi- 
tion is to install an Abbott plate under the joint. The 
joint ties are then well tamped, so that the surface bend 
may be rolled out by traffic. The Abbott plate is a piece 
of flat steel bulldozed in the center for stiffness. For 
angle bar joints the ends are turned up to form a but- 
tress for the angles to rest against. Accompanying illus- 
trations show this joint plate and its application. 

In tracks where the surface bends are quite long we 
raise the whole joint with a vertical rail bender after 





TOOLS USED IN TRACK CONSTRUCTION — AT LEFT, KEYSTONE DIGGER ; AT RIGHT, THE TAMPER OUTFIT 



to be removed, due to municipal paving work, but the 
percentage of actual joint failures has been low. Most 
of the rail welded had been in service fifteen years or 
more under city traffic before the welding was done. 
Accompanying illustrations show some joint failures 
and the methods of reclamation we employ. During the 
past year we have welded 1930 joints and have had no 
absolute breaks. There have been instances of fracture 
in one of the four seams, but these have been infre- 
quent, and were due more to inexperience of the opera- 
tors and ourselves with the process. 

On practically all our new work and on extensive re- 
tieing, we tilt our rails toward the track center, 1 to 20. 
We believe this reduces our pavement breakage along 
the rails, as the resultant of the load passes through 
the rail parallel with its vertical axis and nearly coin- 
cident with it. This removes the tendency of the rail 
to overturn and relieves the adjacent pavement from 
the lateral crushing effect. The load is also applied on 
the center of the railhead on new rail and has the same 
effect as on the proposed curved railhead. On old rail 
which has become beveled to the taper of the car wheel, 
tilting transfers the wear from the gage line to the 
outer edge of the head, gradually moving toward the 
center. When the center is reached, the whole rail 
head tends to wear equally. 

The type of tie plate which we use for tilting is made 
under the Lundie patent. We originated this to accom- 
modate the large number of rail sections with varying 



installing the Abbott plate and tightening the bolts. The 
joint ties are tamped hard, but the shoulder ties are left 
a trifle slack. In addition to this, we have in some in- 
stances welded the angle bars to the rail and to the 
Abbott plate. 

Many joint failures are due to loose bolts, and many- 
loose bolts are caused by the stretching of the bolt be- 
yond its elastic limit when the joint is first made. In 
order to determine the ease with which bolts may be 
stretched when installed, we made some tests in 1913 on 
I-in., i-in. and 1-in. bolts. We found that in some in- 
stances a stretch as high as 80,000 lb. per square inch on 
the bolts was being placed with a 38-in. wrench. With a 
I-in. bolt we found that at 63,000 lb. per square inch, 
the bolt had stretched /.j-in. 

Office Records Enable Pieces in the Field to 
be Identified with Blueprints 

A proper record of special work is one of the impor- 
tant considerations in special work maintenance. In 
order to identify the pieces in the field with the blue 
prints in the office, we have a diagram of each operating 
division and the diagrams for each of the divisions are 
bound in book form and are brought up to date the first 
of every year. This shows every special track-work 
layout on the system and each layout has its own 
number. . All plans of layouts drawn in the office and 
every manufacturer's plan has a circle in the top right- 
hand corner with the name of the division in the upper 



106 



Electric Railway Journal 



Vol. 55, No. 2 



half, and the location number in the lower half of this 
circle. These plans are kept in envelopes with the di- 
visions, street names and location numbers on them, and 
are filed in drawers in a cabinet, one or more drawers 
to a division. 

There are about 1-350 special work layouts on the sys- 
tem, or an average of two per mile of track. Special 
track work is ordered to our ov^m specifications, which 
are made after a careful study and conferences with the 
different manufacturers. We have three types in use, 
manganese or hardened steel centers, manganese or 
hardened steel inserts and built-up construction. The 
selection of the type for any particular location is based 
upon the traffic conditions. In the fall of each year the 
roadmasters and assistant engineers inspect the various 
locations and make reports as to requirements. The re- 
ports are checked up by personal inspection of some of 
the locations by the engineer of maintenance of way, 
and the material is ordered for the locations which in 
his judgment are in the worst condition. Orders for 
the materials necessary for repairs of other locations are 
held in abeyance until the season opens, and are placed 
during the season. 

Our standard steam-road crossings are manganese 
spines continued through the steam lines. The main 



JOO 



:250 



:200 



150 



<ulOO 



50 



" Grotnli-oiol 
'- Mack Block 
- Topeka 
' Bicomac 
• yVoirrenif^ 
■ NaHonal 
' Porfvr Block 



29.214 So Yd. 

20.881 " " 

19,302 - " 

14.390 ' "^ 

5.126 « " 

1,999 - " 

1.660 " ". 



^BM 



WOOD HASSAM ASPHALT AMIESITE 
BLOCK 



MACADAM CONCffiJE GRANITE BrTUllTHIC T OTHER 
BLOCK PAVEMENTS 



PAVING CHART 

guard and easer rails consist of one double web casting, 
to which trolley rails are bolted with heavy steel angle 
bars bent to the angle of the crossing. The trolley line 
has guard rails through the crossing with rolled steel 
separator blocks. 

In addition to the renewal of pieces, Vv'e use the elec- 
t*-'c welders for building up special-work centers, abut- 
ting rail ends, etc. Welding manganese centers is not 
very successful, however, and about 50 per cent of the 
v/elds last only for a short time. The work done on 
these centers is more in the nature of a temporary 
patch to last until a new piece can be installed. When 
welding center plates which have become loose, we find 
it m.ore satisfactory to take the loose plates out, weld 
them and then replace them, as the heat generated in 
welding tends to loosen the plate if it is tightened up 
-first and then welded. 

Labor-Saving Devices Keep Cost Down 

We have gone into labor-saving devices to quite an 
extent and have found their use a great benefit. For 
example, an accompanying illustration shows the method 
employed in breaking out 9-in. 106-lb. girder rail, elec- 
trically welded, with two 15-ton Barrett jacks. Six men 
and a foreman performed this work. The track was 
paved with macadam and this gang broke out about 500 



ft. of single track per day, with no excavation except 
jack holes. After the rails are removed, they are taken 
from the job by a crane car, which has a maximum ca- 
pacity of 14 tons at the end of the boom when extended 
at right angles with the track. The reach is 27 ft. and 
the maximum lifting capacity is 3 tons. We have four 
crane cars of this type. 

The Keystone digger shown in another illustration 
is at work in an excavation. With this machine we have 
excavated at a cost as low as 7 cents per cubic yard. 
This was an extreme condition perhaps, but in general 
the machine cut our cost of excavation about 67 per cent. 
When not in use on our own. work this machine is rented 
out and the money received for rental, so far, is nearly 
equal to the original cost of the machine. In figuring 
the cost above, interest on the investment, depreciation 
and annual repairs are included. Other labor-saving 
machines used are a small "Rex" mixer and a "Thew" 
electric shovel. On one job where we used the Thew 
shovel we were, on account of a breakdown, obliged to 
do some excavation by hand and so had a very good basis 
for comparison. We found that with the shovel our ex- 
cavations cost 71 per cent less than by hand. We also 
found that due to short hauls our service in hauling 
away material cost 22 per cent less with the shovel, as 
we could load so much faster. 

We have twelve pneumatic tie tampers on our lines, 
which reduce the cost of tamping about 25 per cent over 
hand tamping and also give us a better-tamped track. 
The illustration of one of these machines shows four 
tanks and three compressors used for two guns. All 
of the electrical equipment on these machines is stand- 
ard for our cars. This was arranged so that they 
would be interchangeable with our standard car stock. 

In addition to using the tampers for tamping ties, 
we use them for breaking out concrete by the use of 
jack-hammers and drills. A drill will bore a IJ-in. 
hole through 6 in. of concrete in from forty-five seconds 
to one minute. We drill a set of holes and sledge 
or jack the concrete into small sections. Tie tampers 
are also used for cleaning cement grout from salvaged 
paving block. Two men with one machine clean from 
250 to 300 blocks an hour, which is much quicker than 
the work can be done by hand. 

Paving Chart Shows Amounts of Different 
Pavements Laid 

The Connecticut statutes provide that the railways 
must keep in repair so much of the highways as lie 
between the rails and two feet on each side of the 
outer rail. This has always been interpreted to mean 
entire renewal of pavement when the municipalities 
renew the street surface. This adds a great burden to 
the company, not only in the cost of work but in 
affording a good roadway for their competitors at no 
expense to them. The municipalities also determine 
the character of the pavement, although in recent years 
in many instances, a city has laid one type while the 
company has laid what it thought was one more suit- 
able for its construction. The form of chart given 
herewith shows the different amounts of pavements 
laid. For the past two years we have been laying 
concrete where we could and have over 200,000 sq.yd. of 
this particular kind. We have also laid about 260,000 
sq.yd. of wood block, but it is not a satisfactory type 
with us. 

As already stated, our lines follow the coast for about 
40 miles and then turn at right angles and run inland. 



January 10, 1920 



Electric Railway Journal 



107 



Thus our shore lines cross many rivers* and smaller 
streams, while the lines in the interior cross their 
.tributaries. We have 309 bridges on our system, or 
an average of a bridge for every 2.2 miles. Some of 
these are under the jurisdiction of municipalities, while 
a number are on our own property. On the municipal 
bridges we pay from one-quarter to one-third of the 
cost of a new bridge, and about the same proportion 
for any repairs that become necessary unless the repairs 
are necessaiy for our loads alone, in which case we bear 
the entire cost. 

In order to maintain a proper record of these, we 
number all bridges. The first two figures used indicate 
the division and the remaining figures are the bridge 
number, thus beginning at the west end of the system. 
"Bridge No. 101" indicates the first bridge on the 
Stamford division, and "Bridge No. 421" indicates the 
twenty-first bridge on the New Haven division. The 
record kept in the office shows diagramatically the 
location of all bridges and by the color the limiting 
loads. This record also lists the bridges by numbers 
with the locations and local names. This is brought 
up to date the first of each year and a copy is fur- 
nished the general manager for his information. In 
addition to this diagram a loose-leaf system gives de- 
tailed information as to the span or spans, the limiting 
loads, and what part of the structure is the limiting 
feature. 



Motor Carriers on California 
Highways 

In a Comprehensive Report the Commission Sum- 
marizes Motor Transport Situation to Date — 
700 Companies Operate Passenger Bus 
Systems in State 

ELECTRIC lines which are engaged in giving trolley 
express and freight service are in competition with 
the very alert motor-truck lines. These in some parts 
of the country have developed remarkably during the 
past few years. A recent report of the California High- 
way Commission states that "at least 95 per cent of the 
traflfic over the rural highways of the state is motor 
driven." In the last three years in Fresno County the 
number of passenger motor cars using the state high- 
way has multiplied by six and in the same time the num- 
ber of motor trucks multiplied by twenty. Meanwhile 
the number of two- and four-horse wagons decreased 
'by one-half. 

Of course most of these are privately-ovraed vehicles, 
but there are about 700 co^npanies operating passenger- 
bus systems in the State. The lengths of the runs range 
up to the 500-mile trip between S^an Francisco and Los 
Angeles with a one-night stopover en route. When a 
check was made recently there were 136 principal freight 
and express motor companies in the State, employing 
196 trucks which ranged in capacity up to 10 tons (with 
trailer). Two of these runs are 110 and 138 miles in 
length respectively. 

Business for the motor-truck freight carriers has been 
built up even in territories served by rail on the theory 
that the motor carrier can give quicker service with 
fewer handlings than any other means of shipment. 
This is an important consideration in getting perish- 
able commodities, such as cream, eggs, etc., out of the 
hot central valleys of the State and to the commercial 
centers. In this service the motor carriers can eco- 



nomically call for and deliver with a single handling and 
seem to have kept the cost of service low enough to offer 
a profitable rate below the express rate. Some com- 
panies make a rate distinction between classes of freight 
so that perishables will be delivered, at a higher rate, 
within twenty-four hours, while freight which the ship- 
per is willing to have stored a day or two until full loads 
for through trucks are assembled is hauled for less. 

An angle of the taxation question which h-^s not yet 
been worked out is the entire lack of uniformity in 
motor-carrier licenses granted by small towns. The 
"prohibitive" rate imposed by certain municipalities 
(although no rate at all is in force in others) is a fac- 
tor that has discouraged capital from entering the in- 
terurban motor carrier business. Despite this there has 
been a good deal of financing in the motor carrier busi- 
ness that has not turned out profitably. For example, 
in three years more than fifty motor-truck companies 
have failed financially or have given up the business of 
freight handling on the run between San Francisco and 
San Jose. This would seem to be a favored location for 
such business because the highway running between 
these two cities, which are 50 miles apart, is entirely 
hard surfaced. 

While there are many angles to this failure of freight 
truck lines, one cause that stands out prominently is 
poor judgment in selecting equipment. Many operators 
have made the fatal mistake of placing more importance 
on first cost than on econom.y of maintenance find opera- 
tion. This is the rock on which many ventures wreck 
and the difficulty appears almost as often in the pas- 
senger as in the freight business. Ordinarily a rebuilt 
passenger car has not been found to succeed in handling 
freight and the converse is equally true, i.e., the rebuilt 
freight truck usually cannot be converted into a success- 
ful passenger car. 

There have been some notable successes, hov/over, in 
both freight and the passenger motor carriers. The 
Peninsular Rapid Transit Company, for example, oper- 
ates eighteen buses between San Francisco and Palo 
Alto, a 33-mile run on which they give a twenty-minute 
service and receive what is comparatively continuous 
patronage throughout the day. This company built up 
its ovm car bodies on 2-ton White chassis. The cars are 
entirely enclosed; they seat twenty-six passengers. The 
these buses runs on an average of 270 miles per day. 



Corrugated Cardboard Spacers Between 
Wood Paving Blocks 

ACCORDING to a recent issue of the Canadian Engi- 
l\.neer, St. Thomas, Ont., is the first Canadian city 
to use spacers of corrugated cardboard between rows 
of wood paving blocks. These spacers are being em- 
ployed in work now being done by the municipal rail- 
way. Rows of blocks are separated from each other 
by strips of corrugated paper, 11 in. wide by -f^ in. 
thick. The joints so formed are then filled to about 
one-half their depth with coal tar pitch and the re- 
mainder of the joint is swept full of clean sand. Along 
the web of the rail a strip of felt is laid. Paving 
pitch is poured around this so as to waterproof the 
pavement from rail to rail. The blocks are laid on 
pitch paint on the concrete base. The spacer of cor- 
rugated cardboard is said to have been used for the 
first time in June, 1919, in Bridgeport, Conn., in the 
track allowance of the Connecticut Company. 



Electric Eailway Journal 



Vol 55, No. 2 



A Bright Spot in the Industry 

Application of Principles of Service Betterment and Full Publicity Wins In- 
creases in Railway, Gas and Electricity Rates in Record 
Time Without a Dissenting Voice 



THINGS have been happening and happening fast 
in Charleston, S. C, within the last thirty days. 
And these events have been so favorable to the 
Charleston Consolidated Railway & Lighting Company, 
of which Philip H. Gadsden is president, that his 
friends will want to know "how he did it." But the 
facts will bear out the statement that there was noth- 
ing about the circumstances 
savoring of "putting something 
over," or of securing conces- 
sions which were not entirely 
merited or without the full ap- 
proval and consent of all con- 
cerned. The instance does mark 
the result of a full capitaliza- 
tion upon the products of the 
hearings of the Federal Electric 
Railways Commission in an ef- 
fective and constructive adver- 
tising campaign, coupled with 
substantial improvements in 
sei'vice. 

Imagine the state of affairs — 
quite without historical prece- 
dent — whereby the public, or- 
ganized labor, employees, news- 
papers and company are all 
agreed in an effort to bring 
about increased rates for the 
local utility company, and you 
have a mental picture of the 
situation in Charleston. The 
principal events followed upon 
each other's heels about like 
this: 

On Oct. 14 Mr. Gadsden ap- 
peared before the local Council 

and presented some of the broad aspects of the 
conditions in the electric railway and other public serv- 
ice industries. He was followed by B. A. Hagood, 
general counsel for the company, who informed the 
Council of the local utility situation and asked for in- 
creases in the rates for street car, electric lighting and 
gas services. On Oct. 23 the Council had a public hear- 
ing and there was not a voice raised in dissent of the 
proposed increase in rates. On Oct. 28 the Council 
met, suspended the rules and put the proposed measure 
granting increased rates through the first, second and 
third readings all in one evening, thereby saving four 
weeks time over the ordinary procedure in order to 
meet the company's contention that, to be effective, the 
relief sought must be prompt. At its next meeting, on 
Nov. 11, the Council ratified its action taken at the 
previous meeting and made the increased rates effec- 
tive at once. The next morning the company had in 
force a 15-cent increase in the gas rate, a continuation 
of the 10-cent maximum for electricity but with a read- 
justment of the blocks, and a 7-cent cash fare with four 
tickets for 25 cents in lieu of a 5-cent fare. 



Charleston Consolidated Rail- 
way, Gas &f Electric Co. 

Charleston, S. C.,Nov. 12, 1919. 
To the Mayor and Aldermen of the 

City of Charleston. 
Gentlemen: 

We wish to express our sincere 
appreciation of the prompt response by 
the City Council to our application for 
increased rates. 

We fully realize that the community 
has a right to expect in return, uninter- 
rupted and efficient service. 

We believe the support of the public 
has been due in large measure to the 
publicity given to the financial affairs of 
the company. We hope to retain this 
good-will for the future by continuing 
the policy of keeping the community 
informed of the effect upon our financial 
condition of the increased rates which 
have just been granted. 

Yours very truly, 

P. H, GADSDEN, 

President. 



A number of things had a bearing on the favorable 
outcome of the Charleston company's application for 
relief from the greatly increased operating costs. In 
the first place, Charleston has the unique distinction of 
never having had a strike on its street car system, and 
this fact has probably inspired a good degree of confi- 
dence in the management in the discharge of its obliga- 
tion to furnish dependable, un- 
interrupted service. In the sec- 
ond place, the company is 
largely ovvmed by local people 
and President Gadsden has been 
a resident of the city practically 
all his life and knows and is 
known to everybody. Again, 
the momentum of the granting 
of increases in other cities all 
over the country no doubt 
helped. The State Railroad 
Commission has no jurisdiction 
over local transportation, so 
that there was no element of 
divided authority or doubt of 
authority in the case. But the 
main two instrumentalities in 
carrying through the favorable 
action were the improvements 
in service and the education of 
the community in the facts. 
However, Mr. Gadsden is not 
one of those who would hold up 
the success attained in Charles- 
ton as an example which might 
be applied with equal success 
everywhere, but he does find 
pleasure in the thought that 
here is one case where the 
doctrine of service and education which has been so 
generally preached, has been very effective. 

i 
Service Betterment 

Preparation for the application for increased rates 
began many months ago. Improvements were needed 
and it was decided that the company should demon- 
strate, in advance of the application, that it was deter- 
mined to give the public adequate and satisfactory serv- 
ice. Accordingly, improvements were begun which will 
require an expenditure of $1,800,000. These comprised 
the purchase of eight new safety cars and a number of 
large center-entrance double-truck cars for use on the 
long line to the Charleston Navy Yard, extensive im- 
provements at the power house which were needed for 
both the lighting and railway services, the building of a 
new railway substation, new city track, etc. Most of 
these improvements were completed and in operation, or 
well along toward completion when application for in- 
creased rates was made. 

How these improvements were financed is a question, 
which has probably arisen in the mind of the reader.. 



January 10, 1920 



Electric Railway Journal 



109 



mrnnRjuu i i i nmainKiii } ^ 



Statement from the Hearing in Washington on July 
22, 1919, Before the FEDERAL ELECTRIC RAILWAY 
COMMISSION Appointed By the President to Make 
Recommendations for Relief in the Electric Railways 
Situation. 

1 think that the business judgment of this country is that the situation 
of the street railways of the country is critical and one that must receive 
attention as soon as possible on* account of the enormous values involved. 
I think it is one of the most important matters before the country. From a 
financial point of view it seems the most acute internal problem that we 
have to face. 

ISOMER F. FERGUSON, 
President of the Chamber of Commerce of the United States, 




Tiismnminimiiniaini i ri ' Sinma t niinmim i niinsiiinnivmnnmmi 



mziiirajTinmaiann i raninflnnrennnniznreja i 



ONE OF THE ADVERTISEMENTS RUN IN CHARLESTON 

NEWSPAPERS TO MAKE THE MOST OF THE MATTER 

PRESENTED BEFORE THE FEDERAL ELECTRIC 

RAILWAYS COMMISSION 

In this matter, too, the company was in a somewhat 
fortunate position. Among many other enormously 
costly projects carried out during the war, was 
the construction of a $20,000,000 port terminal near 
Charleston. A large block of power was required and 
the government wanted the Charleston power company 
to supply it. To do this entailed an investment of about 
$700,000 in new power equipment and the company 
could not see its way clear to finance it. So the War 
Department purchased necessary materials and equip- 
ment up to $350,000, and the War Finance Corporation 
supplied the other $350,000. The company financed the 
additional improvements amounting to about $1,000,000. 

Going back to the time at which the company decided 
that it must seek relief through an application for 
higher rates, the losses for the entire company were 
running about $25,000 a month on the average. Never- 
theless, the members of Local 610, Amalgamated Asso- 
ciation, wanted a substantial increase in their scale 
although their contract did not expire until Nov. 16, 
1919. 

With the help of W. D. Mahon they were induced 
to live up to their contract and were advised of the 
company's absolute inability to pay a higher wage until 
it could secure greater revenue from its service. This 
induced the trainmen to work for the proposition and 



they gained the support of the local labor federation 
so that when the matter finally came before the City 
Council, labor introduced a resolution asking the alder- 
men to support the company's petition. To complete 
this phase of the story, it should be said that the com- 
pany has just signed a new contract at the expiration 
of the old one, granting the men 10 cents an hour in- 
crease in pay, time and one-half for overtime over 
nine hours and for work on five legal holidays, and 
fourteen days vacation a year with pay. The terms 
of this contract were reviewed in the issue of this 
paper for Nov. 15, 1919, page 951. 

Washington Hearings Were Capitalized 
AT Charleston 

The effective use made of the material emanating 
from the hearings of the Federal Commission, and the 
publicity campaign covering the local situation which 
followed this, may probably be credited with having had 
the most far-reaching results in educating the com- 
munity to the justice of the company's application for 
increased revenue. Beginning on Aug. 4, a half-page 
display advertisement presenting a statement made be- 
fore the Federal Commission was run in the evening 
paper and the following day in the two morning papers. 
This same scheme was followed throughout the cam- 
paign, thus giving equal space to all papers and present- 
ing the same advertisement in all papers. The full 
series of advertisements devoted to statements before 
the commission, all of which were prepared with a 
standard heading as seen in the accompanying illustra- 
tions, included eleven insertions in each of the three 
papers and ending with the issue of Sept. 6. These ad- 
vertisements presented statements by the Committee 
of One Hundred, by Edward N. Hurley, A. Merritt 
Taylor, Francis H. Sisson, Lucius S. Storrs, Homer F. 
Ferguson, Thomas A. Edison, Dr. Thomas Conway, Jr., 
and Frank J. Sprague. 

These advertisements having paved the way for a 
presentation of home conditions, because the people were 
now well aware that the condition was general in char- 
acter and the consequence of the war and not of the 
local management, they were followed by a series of 
twenty-one display advertisements in each paper cover- 
ing local conditions, beginning with the issue of Sept. 




COMPARATIVE STATEMENT OF REVENUES AND EXPENSES 

RAILWAY, GAS AND ELECTTOC DfVlSfONS 

1914- 1»19 

RAILWAY 

Crcu Opeij.,.:^ i«vi 



ToC>J OpenUTf P^r*"*** ipo* 



. Z0£2Sc 29J43C tKSJ fU-lnatmit 
IlM7c -OXU 116JgtuLlner««,>e 



>;-2r^«— "- ,,n/,,^ 101.75% 

CAf 

Om* Opo^ting R«va>ue (p^ 

1.000 cf.' J1.M24 t1J»29 .97 p.c Incnue 

Total Opentinc Experuo <per 

IJOOcf.i -63K I JCS 65J7 p.c h>at»tt 

fttt Op«Ttcif RCTenoe (per qQ nZAf 

ISMctj S 4510 t 04S4 03.UI)% 

ELECTRIC 
Cfom OtoerUmg R(v«nii« ip«r 

K-WKi ■ SJJTMc AMitc I7.7( p.£DECR£ASE 

T:cal Opcratinf Expen*ei (per 

K-W«.> tn-jk JMite M.76p^lBera^ 



tCWH, . 




■ janjiiajaiaraa B tawaffjafararazf i iiiifaa^ asaaiM^ 



71« Dmneral fi^urn ihown m chu itument. wh« conbined, fr' 
the nvt icauh ef chn Ccmpuiy'i opcrabofM. ezduavc of mto'etf on 
t)i« m\ e«inenl and ci*preci*tion. 

During A«9M«&veye»rt OUT R»veooe» have inatAiei but ,U7J 
OF I PEX CENT whae our Operatrnf ExpOMei have mcreawd UJ2 
PER Ctvr. reM^-..r.( in A DECK EASE OF 90,73U PER CEI^ (N 
OLtt ^£T OPEAATTSG REVENUES 

Charteston Consolidated Ry.&Ltg. Co. 



wn tr w wf J M W^jmjmnjgymjv/yjiffrfifinj 




o^mr™.: - a«a »«3 "■"!« 

o^:^Z,f.a» ~VM1 2a.96Z llt.Upc 

6.781 .119 101.75 

Thii ttatemeni ihowt thai the operatinf profit of thb Company per 
car mile in 1914 vni 6.781 ctnta, Mh«r«aj for th« 7 monthi of 1919 on 
each mile operated we lo*l .1 19 centa, or a reduction tn operatins rev- 
S ye&rt of 1CI1.7S per c«nli and that, vrfule our r«ven<K incrca>< 
ed 4t67 per cent, our o^smUnt expmimt incrcued U6J8 per cenL 
b OTHDt WORDS, FOR EVERY ILOD OF [NCREASED REVENUE 
WE HAD TO EXPEND iUI 

A Fair Fare I« AU We Ask 

Charleston Consolidated Ry. & Lt Co. 



Learn the Truth! 



That Mjariet and w&iet have contributed enonnouily to the pra- 
ent critic&l condition in which thii Company &ndf itielf i* «hown by 
the foUowing comparative itAlcment: 

Crow Revenue and Saiarie* and Waf e* of Railway, G&* and Electric 
Division* 9 month* endins September 30, 1914-1919 

PERCENT 
1914 1919 increase: 

GROSS REVENUE 675.125.74 1.141437.00 S9.06 Per C«Dt 

SALARIES PAID 57J67.1Z ilM4253 »4J6 Per C«ot 

WAGES PAID 1 S9.87Q.94 46US3.M 191.67 Per CaB 

TOTAL Salaria and Wage* 

Paid :17J3106 577.736J6 16SJS Per Cent 

From thi* tUtenient it wiD be *cen that, while ow REVENUES for 
thu period 'INCREASED 69.0« per cent, our EXPENDTTURES for 
taUne* and wafe> INCREASED IfASS per cent, bi other word*, for 
every dolUr of INCREASED revenue rec«red, our EXPE-NDTTURE 
for •alarie* and wa^c* INCREASED ilVL 

ThU itatanent aUo ihowi that thb Cotnpany paid to it* entf^ycM 
a* lalarie* and wafe* durii^ 9 ntonth* of 1914. 32.15c of evo^- doOar 
received, while for the 9 month* of 1319 the cmploy«e* Rceircd S(LCc 
of every dollar of revenue. 

At th« prcMnI rale the annual anKHsit U aalariea anJ «rafw paid 
by thi* Company approximatet SliCWLVt, prvctkaDy all cl wkkh ■ 
■pent in the City of Charieslon. 

Charleston Consolidated Ry.&Ltg. Co. 



nttR/jytKURiiRPfsiioViiaafiPJJXiiiKiiiEJiR'^^ i JMMmnflJUU WTJHT i T i i i i iiiiii UiHi g fr ffff fTff r mwrftrrrr n fTnrnr j Hr n-i T , 



A FEW SAMPLES OF THE SECOND SERIES OF ADVERTISEMENTS DESIGNED TO EDUCATE THE PUBLIC AS TO THE 

CONDITIONS FACED BY THE LOCAL COMPANY 



110 



Electric Railway Journal 



Vol. 55, No. 2 



NOTICE TO THE PUBUC 

City Council Has Granted an Increeise in Street Car 
Fares, within City limits zrnd the Increase will be effective 

Thursday, November 13, 1919 



Cash Fare - - 7c or I 4 tickets 



25c 



Tlcketa can be purchated from the 

CONDUCTORS ON CARS 

at MAIN OFHCE, 141 Meeting Street 
Robertum Cigar Company, 13 Broad Slre^ 
De Lorme Drug Store, King and Calhoun Strceti 



We atk the co-operation of the public in having as 
near ai pouible the euict fare ready, so u to fadlitale 
the operation of the can. 



THE INCREASED FARE DOES NOT AFFECT THE 
COMMUTATION SUBURBAN TICKETS 



Charleston Consolidated Railway & Lighting Co 



"nr"""'"nnn"""nfrf7r""""""""7 "''"7fr frf?ff ff f?frf7""'7'''7r""''"""77[r r TrT(?ri^? " 




THE CLIMAX OF THE STORT 

20 and ending with that of Nov. 6, and all appearing 
under the caption, "Learn the Truth." 

The contents of these advertisements may be sum- 
marized as follows: 

1. Announcement that the company would present state- 
ments of facts in the papers to show that it was operating 
at a serious financial loss and the causes of this condition. 

2. Presented statistics showing the number of companies 
that had been forced into receivership; the numbers dis- 
mantled, abandoned, etc. 

3 to 6. Presented figures pertaining to the railway costs 
and earnings. 

7. Directed attention of the public to the fact that the 
railway was not the only part of the company's business 
suffering from high operating cost and stated that the re- 
ceipts in the gas and electric division also were inade- 
quate to meet cost of operation. 

8 and 9. Presented figures relative to costs and earnings 
of the gas department. 

10. Asked the question "Are costs higher?" and then pre- 
sented a long list of comparative figures of costs in 1914 
and 1919, for various materials and supplies, most of which 
applied to the railway division. 

11. Showed the increase in operating expenses in the elec- 
tric division. 

12. Gave a comparative statement of revenue and ex- 
penses for all three divisions of the company per car- 
mile, per cubic foot of gas, and per kilowatt-hour, by di- 
visions. 

13. Gave comparative gross revenue and salaries and 
wages paid for the entire company for the first nine months 
of 1914 and 1919. 

14. Showed that the company was suffering a very serious 
loss and carried the message that relief to be effective 
must be prompt. 

15. Carried the same message, but applied to the rail- 
way division alone. 

16. Carried the same message, but applied to the gas divi- 
sion alone. 

17. Carried the same message, but applied to the elec- 
tric division alone. 

18. Presented a statement of the gross revenue and oper- 
ating expenses for the first nine months of 1919, by divi- 
sions and totals for the company. 

19. Placed before the public the improvements which were 
being made and the cost of these as divided among the 
three divisions. 

20. Gave a detailed tabulation of these improvements and 
the cost of each job. 

It is interesting to note that nothing less than one- 
quarter-page space was used in this publicity campaign, 
running from this up to a full page. The entire cost of 
the space thus used was under $2,000. 

In addition to the educational campaign carried on 
through purchased space in the newspapers, the hear- 
ings before the Federal Commission were further capi- 
talized upon by distributing the daily bulletins sent out 
to all member companies by the publicity committee of 



the Committee of One Hundred from Washington, to 
the 500 members of the Chamber of Commerce, to a 
long mailing list of other business men, to the Mayor 
and Board of Aldermen and even to the Governor and 
other State officials. All of these bulletins were mailed 
separately to the individuals. Also, a letter printed in 
pamphlet form was distributed to all employees of the 
company, informing them of the situation and enlisting 
their active support in educating all of the people with 
whom they came in contact as to the necessity for in- 
creased rates. 

No "Kicks" So Far 

Perhaps it will be said that as the railway commis- 
sioner of the Federal Electric Railways Commission, 
Mr. Gadsden was in a strategic position to see the op- 
portunity which the hearings of that body afforded for 
reaching the public of any community with the true 
situation faced by the electric railways. He was; but 
the big thing is that the opportunity was not lost. The 
increases sought have been secured and since the case 
was entirely devoid of the usual antagonism and "sore- 
ness" toward the increase, there is every reason to be- 
lieve the company will derive very nearly if not quite 
the full theoretical increase in revenue. In the few days 
passed at the time of the writing of this article, both 
company men and newspaper men report that they have 
heard nothing in the way of a "kick" and have, on the 
contrary, heard a number of people voice the feeling 
that they were glad the company got its increases, that 
it fully deserved them. 



General Harries at Berlin 




GENERAL GEORGE H. HARRIES 

Former President American Electric Railway Association, While 
Head of the United States Military Mission in Berlin, to Which 
Place He Was Appointed Immediately After the Armistice. 

THE accompanying view shows Gen. George H. 
Harries, vice-president of H. M. Byllesby & Com- 
pany, while head of the United States Military Mission 
in Berlin after the armistice. At the Atlantic City 
convention of the American Electric Railway Associa- 
tion, General Harries gave an account of some of his 
experiences while in Berlin. He has recently given 
talks on the same subject before the Society of Il- 
luminating Engineers in Chicago, Chicago Electric Club, 
and the Commercial Club of Omaha. 



January 10, 1920 



Electric Railway Journal 



111 



A. E. R. E. A. Standard Material 
Specifications 

Joint Action With the American Society for Test- 
ing Materials Will Assist in the Speedy • 
Adoption of Desired Standards 

By T. a. Chance 

IN AN earlier issue of the Electric Railway Journal 
I discussed some of the points in connection with the 
A. E. R. E. A. standard specifications for finished 
articles of equipment. Some comment on the materials 
specifications are given in this article. 

Quenched and Tempered Carbon-Steel Axles, Shafts 
and Similar Forcings (Section Et 9B) 

This specification is one which was originally fathered 
by the electric railway association and was later adopted 
by the American Society for Testing Materials. The 
latter society is one which is becoming more and more 
the natural agent for the dissemination of standard 
specifications. It does not seem wise for an operating 
organization such as the Engineering Association to 
attempt to compete with one formed of men especially 
skilled in the manufacture of materials, and it would 
therefore be the part of wisdom for the A. E. R. E. A. 
' to adopt as its standards those which have been adopted 
by the A. S. T. M. This, then, would establish for 
the quenched and tempered axle specification the A. S. 
T. M. standard specification for quenched and tempered 
carbon-steel axles, shafts and other f orgings for locomo- 
tives and cars, bearing the designation A-19. 

It is possible that there would be criticism of this 
course; but engineers are practically agreed on the 
desirability of reducing to a minimum the number of 
standards covering like parts, and active steps are being 
taken by all engineering societies toward the final adop- 
tion of a set of American standards and for materials, 
and this work is being handled largely through the 
A. S. T. M. Failure to co-operate will not shovi^ in- 
dependence but rather give cause for provocation. 
Should there be any criticism of the A. S. T. M. speci- 
fications on the part of the A. E. R. E. A. the discus- 
sion should be carried on through the committees of 
the former. 

Annealed Carbon-Steel Axles and Similar 
Forcings (Section Et IIB) 

The same comments hold for this specification as for 
the previous one. The main provisions are covered in 
the A. S. T. M. specifications A-18 for carbon-steel and 
alloy-steel forgings. The A. E. R. E. A. specification 
is unreasonable in that it provides both a complete 
chemical specification and complete physical property 
specification. 

It is well known that the two specifications are in- 
separably connected so that if a definite series of 
physical properties is desired it should be specified 
without naming the chemical content, other than the 
impurities, leaving the manufacturer free to provide the 
composition necessarj' to obtain the desired physical 
results. 

If it is felt by the association that the A. S. T. M. 
specification does not contain all the elements that 
should be incorporated in an axle specification of this 
character the proper course to pursue is to propose 
to the A. S. T. M. a revision of the specification men- 



tioned above or the creation of a new specification 
covering annealed steel axles alone. 

Solid Wrought-Carbon-Steel Wheels for Electric 
Railway Service (Section Et 12 A) 

Here again we have a difference between the speci- 
fications of the association and that of the A. S. T. M. 
specification for wrought solid carbon-steel wheels for 
electric railway service, bearing the designation A-2.5. 
The association specification bears a somewhat drastic 
requirement as to the substantial agreement in carbon 
content in different parts of the wheel. The data so 
far gathered by the association do not, I believe, war- 
rant the assumption that such an agreement in carbon 
content materially increases the serviceability of the 
wheel, so as to warrant its inclusion in a standard of the 
association. 

Furthermore, as in the case of the annealed 
steel axle specification, if it is the mature judgment of 
the association (which is very doubtful) that such a 
provision should be included, the matter should prefer- 
ably be handled through the A. S. T. M. It is of no 
advantage to the association to include doubtful provi- 
sions in its standard specification which will only 
cause the manufacturers either to refuse to work to the 
specification, or else ask an extra price. By such 
action the association merely handicaps its members 
who desire to use specifications as proposed without 
being assured that it is providing any advantage to 
compensate for the penalty. 

Case-Hardened Forged Steel Bears (Section Et 
14A) — Quenched and Tapered Forged Carbon- 
Steel Bears (Section Et 15A) — Case-Hardened 
Forged Steel Pinions (Section Et 16) — Quenched 
and Tempered Forged Carbon-Steel Pinions (Sec- 
tion Et 17A) 

There is probably no particular objection to these 
specifications, other than the fact that the purchaser 
is limited to the trade product of a very few manu- 
facturers. The specifications therefore mean little or 
nothing and the standing of the association standards 
would therefore be raised by their elimination. 

In conclusion I would say that the desire of the asso- 
ciation to increase the use of its standards by its mem- 
bers is entirely laudable, but analysis shows that revi- 
sions and eliminations should be made in the equipment 
standards as they now exist, and the same undoubtedly 
holds true for the other branches of the art. The asso- 
ciation should look to it that this work be undertaken 
in the coming year, and that it be conducted on a broad- 
minded basis, without fear, favor or prejudice of 
anyone. 

Mounting Circular Work on a Lathe 

THE shopman operating a lathe sometimes has trou- 
ble in mounting a circular piece of work concen- 
trically upon the face plate. If the piece to be turned 
is not mounted in the center of the face plate the 
turning marks left by the lathe tool will present a very 
rough appearance. . A convenient method sometimes 
used in such a case consists first of setting the lathe 
in motion and then holding the end of a piece of chalk 
on the revolving face plate so as to draw a circle with 
a diameter just a little larger than the work to be 
turned. With this circle as a gage it is a comparatively 
simple matter to mount the circular piece to be ma- 
chined centrally within it. 



112 



Electric Railway Journal 



Vol. 55, No. 2. 



Association News 



Power Generation Committee Begins Work 

THE Engineering Association committee on power 
generation met at association headquarters on Jan. 
5, with the following members in attendance: A. B. 
Stitzer, Republic Engineers, Inc., New York City, 
chairman; N. A. Carle, Public Service Electric Co., 
Newark, N. J.; H. E. Davis, New York State Rys.. 
Ltica, N. Y. ; W. S. Finlay, Jr., Interborough Rapid 
Transit Co., New York City; C. A. Greenidge, J. G. 
White Management Corporation, New York City; F. 
A. Scheffler, Fuller Engineering Co., New York City, 
and W. C. Slade, the Rhode Island Co., Providence, 
R. I. W. C. Karr, Republic Engineers, Inc., was also 
present by invitation. 

The main three subject assignments made by the 
executive committee were then taken up in order; 
namely, (1) power contracts, (2) special fuels and 
(3) power-plant statistics, as listed in the issue of this 
paper for Jan. 3. Reports from the sub-committees on 
these topics as to their plans were received. These 
sub-committees are as follows: Topic 1, W. C. Slade, 
chairman, N. A. Carle, E. H. Scofield, C. W. de Forest; 
Topic 2, W. S. Finlay, Jr., chairman, F. A. Scheffler, 
n. P. Bell, F. C. Hanker, A. H. Kruesi ; Topic 3, C. A. 
Greenidge, chairman, H. E. Davis, N. A. Carle. 

On the first topic, presented by Mr. Slade, it was 
decided to prepare a suggested form of contract for 
the purchase and sale of power, basing it upon the 
form prepared last year, the first draft to be sub- 
mitted to the members of the sub-committee and their 
suggestions to be incorporated in an explanatory 
appendix. For the second sub-committee Mr. Finlay 
stated that an analysis would be made of the economic 
factors involved in the use of fuels other than lump 
coal and the results will be presented in graphical 
form. A review of progress in this field to date will 
also be included. Mr. Greenidge said that data on the 
cost of power would be collected by means of a ques- 
tionnaire, the information to be given for a period of 
years and to cover only operating costs. Actual costs 
will be requested, but the results of the canvass will 
be "masked" to protect the contributors. 

The power generation committee was enthusiastic 
over the prospects for the year's work and, as indi- 
cated above, plans a report of great value. 

A Trap for Undesirable Material 

ON A LARGE railway system operating some new 
cars equipped with multiple-unit electro-pneumatic 
switch-group control, considerable trouble was experi- 
enced due to overheated resistors. Investigation showed 
that the switch groups were not notching up properly, 
due to an accumulation of pipe scale which clogged up 
the magnet-valve port-holes. The equipments were new 
and the accumulation of pipe scale had come from some 
of this being left in the pipe upon installation, and also 
because some scale loosened from the inside of the pipe 
after the cars had been put in service. In order to pre- 
vent the pipe scale from entering the contactor box a 
T-fitting was installed in the air-line ahead of the switch 
group as indicated in the accompanying diagram. The 



opening of the "T," leading to the contactor box, was 
fitted with some rather fine brass netting so as to strain 
out all undesirable material. The lower opening in the 
pipe "T" was closed with a plug which could be easily 
removed and would thus permit cleaning. 

These cars were operated for a considerable distance 
on lines which ran to seashore resorts. During damp 




reear Valve ^■£3=' 

701b.. 



Con fro/ 
/feseryo/r 



From 
Main 
Reservoir 



.Stop Cock for 
Releasing Moislure 



DIAGRAM OF AIR PIPING 
TO SWITCH GROUP 

■-'"T-Fltfing 

■ Brass Neftlncf 

,PIU0 for Clearying 
anc^ Blowing Oul 



weather there was an excessive accumulation of moist- 
ure in the air piping, which entered the air connections 
of the various control valves and caused sluggish opera- 
tion. In order to provide for draining and blowing out 
this mioisture, an additional stop cock was installed in 
the piping of the switch at the end opposite to that at 
which the air entered. This provided a means by which 
the motorman could drain and blow out any excess of 
moisture before the car was placed in service. 



Letter to the Editors 



Compute Car Weights by Considering Total 

Passengers Carried 

The J. G. Brill Co. 
Philadelphia, Pa., Dec. 26, 1919. 
To the Editors: 

In the Electric Railway Journal of Dec. 13, page 
883, there is an editorial entitled "What Will the Car 
of Tomorrow Weigh?" 

The basis of the car weight in this editorial is per 
passenger seat. It would seem that this is not the 
most satisfactory method of determining whether a car 
is light or heavy. If, for instance, we take the weight 
of a safety car at 15,000 lb. and the seating capacity 
at thirty-two passengers, the weight works out to 468 
lb. per seat. If this car had been designed to carry but 
thirty-two passengers, then there would be a good rea- 
son for working out the weight on the seat basis, but 
as these cars are capable of carrying a total weight of 
passengers equal to the weight of the car and frequent- 
ly do so, there is actually a pound of car for each pound 
of passenger weight carried, and we believe that this 
is the proper method of working out the comparative 
weight of cars. At least, it should be used in addition 
to the weight per seat. 

Most of the double-truck cars, according to our cal- 
culations, will show about 2 lb. of weight of car to 1 lb. 
of passenger weight carried. This is obviously a very 
strong talking point in favor of the light-weight safety 
car, and we think it is only fair to the safety car to 
compare its weight with that of the double-truck car 
on a total passenger basis instead of only on the per 
seat basis where the comparison is not so favorable. 
W. S. Adams, Designing Engineer. 



January 10, 1920 



Electric Railway Journal 



113 



Bulletin News Page 

Summary of the Principal Happenings of the Industry of Current Interest Since 
the Last Issue of this Paper Was PubHshed 



The San Francisco (Cal.) Municipal 
IRy. must have a higher fare if it is to 
continue to pay the present wage of $5 
a day to platform men. 

The Louisville (Ky.) Ry. has asked 
"the city authorities of Louisville for a 
7-cent fare with a 1-cent transfer ' 
charge. 

The New York Rys., the Brooklyn 
Rapid Transit Co. and the Interborough 
Consolidated Corp. have applied to the 
"Board of Estimate of New York City 
rfor an 8-cent fare. 

Straight 7-cent fares went into effect 
on the lines of the United Railways & 
Electric Co., Baltimore, Md., on Jan. 
1, under authority of the State Public 
Service Commission. 

The Clinton, Davenport & Muscatine 
Ry., Muscatine, Iowa, is now charging 
7-cent fares on its lines in Muscatine. 
The fare increase was authorized by 
popular vote. 

The Washington Railway & Electric 
Co. has applied to the Public Service 
Commission of the District of Colum- 
"bia for permission to install a straight 
7-cent fare on its lines and to charge 
2 cents for each transfer. 

Ten-cent fares will go into effect on 
the lines of the Tacoma Railway & 
Power Co., Tacoma, Wash., on Jan. 18. 

The Morris County Traction Co., 
Morristown, N. J., has applied to the 
State Board of Public Utility Commis- 
sioners for authority to install 7-cent 
fares on its lines. 

The City Commission of Trenton, N. 
J., is considering a plan for the opera- 
tion of jitney buses within the city 
limits. 

The Aurora, Elgin & Chicago R.R. 
has been authorized by the Public Utili- 
ties Commission of Illinois to raise 
fares on its lines in Elgin and Aurora 
to 8 cents. 

The Cincinnati (Ohio) Traction Co. 
did not advance its fare on Jan. 1 from 
7 cents to 7.5 cents, owing to its suc- 
cess in securing needed funds from 
other sources. 

The Wisconsin Railroad Commission 
will reconsider its recent order author- 
izing the Milwaukee Electric Railway 
& Light Co. to raise its fare to 7 cents. 

The Lewiston-Clarkston Transit Co., 
Clarkston, Wash., is now charging 7- 
cent fares. 



PRINTED JANUARY 9. 1920 

The City of Seattle, Wash., has in- 
stituted legal proceedings to compel the 
Seattle & Ranier Valley Ry. to trans- 
port city firemen and policemen in uni- 
form free of charge. 

The Public Service Commission for 
the Second District has suspended an 
increased rate which the New York 
State Rys., Syracuse, proposed to place 
in effect on its Mohawk Valley lines. 

D. E. Waggoner, president of the 
Security National Bank of Dallas, Tex., 
proposes that the Dallas Ry. be allowed 
to increase its fare. 

The Supreme Court of North Caro- 
lina has handed down an opinion up- 
holding the right of the State Corpora- 
tion Commission to grant fare increases 
in spite of limitations contained in mu- 
nicipal franchises. 

E. G. Connette, president of the In- 
ternational Ry., Buffalo, N. Y., has ten- 
dered his resignation to the directors of 
the company. 

The personnel of the Brooklyn (N. 
Y.) Rapid Transit Co. has been reor- 
ganized, owing to the fact that much 
of the work in connection with the new 
lines of the New York Municipal Ry. 
has been completed. 

George Weston, noted electric rail- 
way enginner, died on Jan. 7 from acute 
indigestion. 

The application has been granted 
which was made to foreclose the Shore 
Line Electric Ry., Norwich, Conn. 

In recent decisions in Illinois the 
Supreme Court of that State has ruled 
that "going value" must be taken as an 
element of valuation. 

Complete Memphis appraisal report 
shows unanimity of opinion on values 
not apparent in unofficial figures. 

The Androscoggin & Kennebec Ry. 
has succeeded the Lewiston, Augusta & 
Waterville Street Ry., following re- 
ceivership and foreclosure. 

Solly Joel, of Bernato Brothers, is 
said to have purchased control of the 
local London railways from the Speyer 
interests. 

An important paving case with pos- 
sible bearing elsewhere has just been 
decided in favor of the Illinois Traction 
System. 

Agitation has been started looking 
toward the removal of cars from Broad- 
way, New York, and their replacement 
with buses. 



Public telephones will be installed at 
each of the 517 rapid transit stations 
in the several boroughs of Greater New 
York. 

Hastings, the quiet little village on 
the Hudson which had its bucolic exist- 
ence disturbed by the suspension of 
service some time ago by the Yonkers 
Railroad, stands in prospect of securing 
limited railway facilities. 

The arbitration is under way which 
was provided for in the settlement of 
the strike of the employees of the San 
Francisco-Oakland Terminal Railways, 
Oakland, Cal., last October. 

The Detroit (Mich.) United Railway 
is beginning to order material for use 
in carrying out the extensive construc- 
tion program which it announced re- 
cently. 

A subway for street cars is being dis- 
cussed at Cincinnati, Ohio. 

Publicity men in particular will be in- 
terested in "A Straphanger's Philoso- 
phy," elsewhere in this issue. 

The plan of reorganization of the 
Oakland-Antioch Railway has been 
modified. The reorganization commit- 
tee found it impossible to market the 
bonds under the plan previously ap- 
proved. 

$80,466,100 of electric railway securi- 
ties will mature during the year 1920. 
The grand total of utility maturities 
for the year is $196,296,800. The larg- 
est amounts of maturities come due in 
January and November. 

Several abandonments of service were 
set to take place in San Diego, Cal., on 
Jan. 1. 

In the last eighteen months the re- 
ceivers of the Pittsburgh (Pa.) Rail- 
ways have succeeded in paying just 
about one-third of the fixed charges of 
$5,153,673. 

The net receipts of the Chicago (111.) 
Surface Lines for November under the 
7-cent fare were $954,162. 

There would appear to be no immedi- 
ate prospect of a reduction of the fare 
on the Boston (Mass.) Elevated Rail- 
way from 10 cents. 

It is reported that the valuation of 
the New York (N. Y.) Railways now 
nearing completion by Stone & Webster 
will show something like $140,000,000. 
At 1914 prices the value was $85,000.- 
000. 



News of the Eledric Railways 

FINANCIAL AND CORPORATE • TRAFFIC AND TRANSPORTATION 

PERSONAL MENTION 



Construction Program 
Begun 

Detroit United Railway Makes Start 

Toward Carrying Out Its Recently 

Announced Plans 

The Detroit (Mich.) United Ry. has 
placed orders for 10,000 tons of rails 
for its extensions and replacement 
plans, with the intention of completing, 
at the earliest possible moment, work 
already started. 

Car Building Program 

It is planned to continue operation of 
the Highland Park car shops during 
1920 where car building operations will 
add many new motor and trail cars to 
the equipment of the city lines. In ad- 
dition to this, $1,000,000 worth of equip- 
ment has been ordered for interurban 
lines. 

That the limit of the company's avail- 
able resources are being used to keep 
pace with the requirements of the 
traveling public and aid in the expan- 
sion and upbuilding of Detroit and ad- 
jacent communities served, is contended 
by the company officials. 

Although details of the proposed 
plans for ultimately relieving conges- 
tion have not been announced, the com- 
pany's engineers estimate that improve- 
ments necessary properly to care for 
the needs of Detroit in the way of sur- 
face lines and essential equipment, in- 
cluding cars, power and buildings, in- 
volves an expenditure of an amount ex- 
ceeding $15,000,000. This improvement 
program which is so vital to Detroit's 
growth should be under way promptly, 
but is necessarily deferred until the 
company is put in a position to borrow 
the money upon some recognized and 
safe basis. 

Among the various extensions begun 
in 1919, involving in all about 16 miles 
of track, the Stephenson line remains 
to be completed from Woodward Ave. 
along the Six Mile road and going 
north on or parallel to Oakland Ave. 

Important Extensions Plans 
One of the most important new ex- 
tensions to be completed and placed in 
operation as soon as construction activ- 
ities permit is the Twelfth St. extension 
of the Trumbull line to connect with the 
line on Oakman Ave. at Elmhurst Ave. 
This line when completed will serve a 
very important section of the city which 
is now without adequate service. 

The St. Jean extension also remains 
to be completed, work having been 
started on the Harper Ave. end. This 
is a north and south line on the east 
side of Detroit, which vnll run from 
Jefferson Ave. along St. Jean Ave. to 
Shoemaker Ave., thence on Montclair 



and Harper Ave. to Gratiot Ave. This 
line will aid in the development of an 
important business and residential sec- 
tion of the city. 

There was an unparalleled increase 
in the city's traffic beginning in the 
summer of 1919. Developments in cer- 
tain sections of the city not adequately 
served by railway have added to traffic 
difficulties on the existing lines and ex- 
pansion of new residential sections has 
been hindered by lack of service. 



Oakland Wage Arbitration Begun 

The hearing was begun on Dec. 19, 
in the arbitration of the demand of 
the platform men of the San Fran- 
cisco-Oakland Terminal Rys., Oakland, 
Cal., for an eight-hour day and an in- 
crease in wages. The arbitration is 
in accordance with the terms under 
which the strike of last fall was set- 
tled. This strike was called on Oct. 
1. It lasted ten days. 

According to the testimony at the 
first session of the arbitration board, 
the strike cost the San Francisco-Oak- 
land Terminal Rys. $400,000. Of the 
amount named $194,000 represented 
general expenses incident to the strike, 
including the care of men brought in 
to replace the strikers. The loss in 
revenues is placed at $210,000. 

At the session on Dec. 20 the com- 
pany represented that the deficit for 
the year would be $372,000. J. P. 
Porter, superintendent of transporta- 
tion, declared the company had had 
no difficulty in getting men to work 
despite the complaint of the men that 
wages were too low and the hours too 
long. Since Oct. 11, the day the strike 
ended, and up to Dec. 12, the company 
received 842 applications from men 
wishing to go on the platform. 

The general defense of the company 
is that the demands are impossible 
of fulfillment by it. The company con- 
tends that to grant the demands made 
by the men would cost $1,828,000 a 
year. 

The men contend that the increased 
cost of living makes an increase in 
wages absolutely necessary. They base 
their demand for an eight-hour day 
upon the adoption of the eight-hour 
day by the Federal Government and by 
municipalities and for other forms of 
work. 

Warren Olney, Jr., Associate Justice 
of the Supreme Court; Ralph Merritt, 
comptroller of the University of Cali- 
fornia, and former Food Supervisor, 
and E. C. Bradley, a former member of 
President Wilson's Industrial Confer- 
ence, are sitting as a board of medi- 
ation, with Mr. Olney as the chair- 
man. 



Promise Resumption of 
Service 

New York Commission Sanctions Plan 

for Restoring Railroad Facilities 

at Hastings 

The Public Service Commission for 
the Second District of New York has 
decided that public necessity and con- 
venience require the construction of 
the Hastings Ry.'s line. The commis- 
sion has also approved the construction 
of the new electric railway under a 
local franchise granted on Nov. 20. 

Service Abandoned Last April 
The commission's order follows vari- 
ous steps taken to provide Hastings 
with electric railway service following 
the abandonment by the Yonkers Rail- 
road of its Hastings line last April 
because of a restricted 5-cent fare. 

Commissioner J. A. Kellogg, in a 
memorandum accompanying the order, 
speaking of lack of service to Hastings' 
Heights and Uniontovra, says: 

It Is not to be wondered at that people 
who have located, purchased property, and 
perhaps have erected homes in the expec- 
tation of a continuance of a long-estab- 
lished transportation service, should be in- 
dignant and feel outraged at the cessation 
of that service. And it is to be hoped that 
their very natural desire and demand for 
transportation may be complied with at a 
not far distant date, when normal condi- 
tions are resumed. 

But the only present question is, whether 
this proposed limited strip of railroad serves 
the public convenience and necessity, so 
that the certificate of the commission should 
issue to that effect, and its permission be 
given to exercise franchises by local au- 
thorities. 

The evidence, the commissioner says, 
shows about 3,800 people were carried 
daily on the former road, indicating a 
substantial demand for service. It is 
quite apparent, he continues, that a 
line which will serve public convenience 
so far as it is operated ought not to 
be denied the necessary certificate for 
the reason that it does not extend a 
sufficient distance to accommodate other 
people. 

Commission's Statement 
The commission says further: 

It is to be regretted that the railroad 
company does not see fit to reinstate the 
entire line operated for so many years as 
It is quite probable that with the present 
fares the burden of operation of the entire 
tormer line could be successfully borne. 
But if the new company does not see fit 
to undertake the operation of the more 
extended line, it should not be prevented 
from operating for the shorter distance. 
The operation may prove so profitable 
and pleasant that the company may 
shortly see its way clear to resume, with 
reasonable expectation of added gain, the 
operation in effect for many years, by 
the extension of the franchise applied for. 

It is unfortunate that the needs of this 
entire commutiity cannot be served by 
proper transportation facilities, but it is 
hoped that a beginning will be made, In 
the exercise of the franchises here applied 
for, and that such franchise, at no distant 
date, will be extended to accommodate the 
entire community. 



January 10, 1920 



Electric Railway Journal 



115 



Illinois Traction System Wins Paving- Case 

Decision at Tilton Regarded as Having Possible Bearing on Similar 

Cases Elsewhere 

In a case which came to trial on Dec. 
4 in the Vermilion County Circuit 
Court, involving the right of a munici- 
pality to compel an interurban railway 
to pave between its tracks with con- 
crete, the petition of the Village of 
Tilton, 111., for mandamus was denied. 

History of Case 

Several years ago, the Danville, Ur- 
bana & Champaign Railway (Illinois 
Traction System), as successor to the 
Danville, Paxton & Northern Railroad, 
began operating through the Village of 
Tilton, under a franchise which among 
other things required the railroad to 
pave its right-of-way at the same time 
and in the same manner as the village 
improved the balance of the street by 
paving the same. Early in 1919 the 
Village of Tilton passed an ordinance 
whereby it was to pave the street for 
a distance of 7 ft. from each curb. 
Agreement was made with the Town- 
ship of Danville for the Township to 
pave the street from a point 7 ft. from 
each curb line to within 1 ft. of each 
rail of the tracks of the Danville, Ur- 
bana & Champaign Railway. The rail- 
way was then notified to pave the space 
within its tracks and for 1 ft. on the 
outside of each rail. The specifications 
for the pavement by the Village of Til- 
ton and the Township of Danville called 
for a concrete slab, approximately 75 
in. thick. No specifications were pre- 
pared by the Village or Township au- 
thorities as to the pavement to be laid 
by the railway. 

The demand of the Village of Tilton 
upon the railway to pave was construed 
to mean, under its franchise, that the 
company was called upon to pave with 
U m of concrete. The demand was re- 
fused and a petition for mandamus 
was filed m the Circuit Court of Ver- 
milion County. 

Company Answers Complaint 



nwif <=°n?pany filed its answer setting 
up the following defenses- 

If^fn^^ ^ i°l-''^''''''^'' i" Villages, except thl 
statute relating- to cities and vi la^eif 
Whereby streets might be Paved by genfrll 
^^tion or by .special assessment "^p^on Thl 
abutting property owners; that at thi« 
time there was in the mutual contemplation 
of the parties, that when the villaRe should 
men? sZ'^f^'^hl ^^1"'^"°" wherebra'pavL"^ 
CTowth of ^1,^® '•n''' 'because of the natural 
flfw /.^^ ^^^. village, the traffic upon the 
railroad would be sufficient to warrant the 

tharfhe^n" *fff\ ^i ^^ also claimel 
that the so-called hard roads act under 
which a part of this pavement is being con- 
structed was not then in existence o? con- 
tempiation. 

3. It was claimed that the railroad was 
not financially able to pay for the pave- 
ment, m that it was failing to earn enough 
money to pay its operating expenses, de- 
preciation and other fixed charges 
.., J^ T^^ claimed that to pave between 
the tracks of the company with concrete 
was impracticable. 



5. It was claimed that the Public Utilities 
Commission had jurisdiction of the matter, 
and that the ability of the company to pay 
for this pavement and the right to issue 
securities for its payment should first be 
passed on by the Public Utilities Commis- 
sion. 

A demurrer to this answer was filed 
by the village. The court, in passing 
upon the demurrer, held: 

1. That the allegation was not a defense 
which was made in the answer that the vil- 
lage was small when the ordinance was 
accepted, and it was in the contemplation 
of the parties that pavement would not be 
put in until the village was large enough to 
justify the company to construct the pave- 
ment by reason of increased traffic, and 
since that time the hard roads act had 
been passed by which part of this pavement 
had been constructed. 

2. That the allegation was a good de- 
fens© that the village was not constructing 
the pavement adjoining the track of the 
company. ^ ^ 

3. That the allegation of want of funds 
and the jurisdiction of the Public Utilities 
Commisson was not a prima facie defense, 
but if the mandamus should issue and the 
commission ultimately refuse authority to 
issue securities, this would be an excuse for 
not complying with the writ of mandamus, 

4. That the allegation, if proved by the 
evidence, was a good defense that a con- 
crete pavement was impracticable for the 
operation of the railroad. 

Company Financially Unable to 
Pay 

Issues were finally joined, and the 
case came to trial on Dec. 4, in the Ver- 
milion County Court before a jury. 
The principal evidence introduced by 
the company was as to its financial 
ability to pay for the pavement, and as 
to the practicability of the construction 
of a concrete pavement 7i in. deep in 
these tracks. It was shown that the 
company was operating not only heavy 
suburban passenger cars over this 
track, but it was also hauling foreign 
freight cars, many of them 100,000-lb. 
capacity coal cars. It was also shown 
that a pavement of 7J in. of concrete 
would not reach to the bottom of the 
ties, because the rails were 4i in. high, 
and the ties 6 in., making a total of 
lOi in. 

If the pavement was constructed 
to within one-half inch of the top of 
the rail as required by the ordinance 
this would leave only a 4-in. slab of 
concrete on the top of every tie. It 
was also shown that the tremendous 
vibration involved in the operation of 
these heavy cars would, within a period 
of a few months, cause the concrete to 
break up and necessitate constant re- 
pairs; that it would be almost impos- 
sible to repair rail joints without de- 
stroying the pavement, and that while 
cars were in active operation, any re- 
pairs which might be made would never 
be satisfactory, because the concrete 
would go to pieces under the vibration 
before it could set. It was also shown 
by witnesses for the company that it 
was decidedly against the engineering 
practice of railroads to pave with 
concrete. 

Even the witnesses for the village 
admitted that a pavement of con- 
crete without a very substantial con- 



crete ballast entirely underneath the 
ties would be impracticable. 

Special interrogatories were submit- 
ted to the jury, and that body found 
as follows: 

1. That the company was financially able 
to incur this expenditure. 

2. That it was impracticable to lay a con- 
crete pavement for tracks and operate over 
the same, and 

3. That it would require frequent repairs 
on account of the concrete breaking up un- 
der the weight of the heavy interurban cars. 

On Dec. 12 a motion for a new trial 

by the Village of Tilton was denied, 

and judgment entered on the verdict in 

bar of the action. This means that the 

petition of the Village of Tilton for 

mandamus is denied. 



Buses for Broadway? 

Since the board of directors of the 
Broadway Association made recommen- 
dations to improve traffic conditions 
on Broadway the transportation com- 
mittee of the association has submitted 
the following three questions as a 
referendum to the members: 

Are you 'in favor of a through line oper- 
ated from Bowling Green to Kingsbridge 
for a single fare without a transfer? 

Are you in favor of the continued use 
of the present type of green car on 
Broadway south of Forty-fourth St.? 

Are you in favor of the removal of the 
street car tracks and the substitution of a 
modern bus line system operating on 
Broadway? 

The committee points out the follow- 
ing facts: 

1. The surface railway on Broadway 
is operated in two sections: one, the green 
car lines from Bo^wling Green to Broad- 
way's intersection with Seventh Avenue at 
at Forty-fourth St. and, the other, the red 
car line from the intersection north to 130th 
St. A separate fare is charged on each 
line and no transfers between them. 

2. South of Forty-fourth St. the green 
car line is operating a type of low plat- 
form cars with side entrance and exit 
through only one door at a time and has 

a seating capacity of about forty-nine 
persons. 

3. Broadway south of Thirty-fourth St., 
is 43 ft. wide, designed and sufficient for 
six lanes of ordinary vehicular traffic, 
three lanes in each direction. The street 
is now occupied by two car tracks occupying 
17 ft. of the width of the street from ex- 
treme outsides of cars. The street cars 
stop at nearly every comer to take on and 
let off passengers, who have to pass across 
the space reserved for two lanes of vehic- 
ular traffic in order to reach the sidewalk. 
The law requires all vehicular traffic in 
this section of Broadway to stop when the 
car stops until the passengers get on and 
off and the cars are ready to resume their 
headway. 

Other important points touched on 
by the committee show that Broadway- 
is the only street in Manhattan Island 
running from Bowling Green to Kings- 
bridge and is the logical thoroughfare 
for automobile traffic. 

The committee further points out 
that tracks are not permitted on the 
finest streets of other cities and that 
modern motor buses in European 
cities and some American cities ac- 
commodate sixty passengers and could 
be used on Broadway. They move 
close to the sidewalk and other traffic 
could keep moAdng. In event of a 
breakdown they could be quickly re- 
moved. 

The committee says tliat reliable 
information is that a bus line can be 
profitable on the entire length of 
Broadway on Manhattan for a sin- 
gle fare. 



116 



Electric Railway Journal 



Vol. 55, No. 2 



Commission Courts 
Investigation 

New Jersey Body States Plainly Its 

Attitude on the Matter of Rates 

— Reviews Fare Case 

The Board of Public Utility Commis- 
sioners of New Jersey has presented its 
report for the year recently ended. It 
is a clear-cut statement of the attitude 
of the body with respect to its own 
actions, the presentation of the board's 
position on the matter of rates being 
particularly forceful and to the point. 
The board feels that an investigation of 
the whole problem of public utility reg- 
ulation by a commission of citizens in 
whose fairness and ability the public 
would have confidence would go far to 
clear up the misunderstandings which 
it thinks exist in the public mind. It 
recommends such an inquiry. 

Board's Comment on Criticism 

In discussing criticisms of rate ad- 
vances by the public the commission 
made the following comment: 

It ii5 a matter of regret that advances 
in charges of public utilities to meet in- 
creased operating- cost and which under 
the circumstances it would have been un- 
reasonable to deny have been misunderstood 
by many, and the important principles in- 
volved ignored in public discussion con- 
ducted in the heat and turmoil of political 
campaigns. 

There are but two methods by which 
public utility service can be supplied ; one, 
where in the expectation of the protection 
of the law and the enjoyment of a reason- 
able ])rofit capital is invested and public 
utilities are conducted as business con- 
cerns, subject to the regulation and re- 
straint which because of their public nature 
it is reasonable and proper to impose ; the 
other, requiring a departure from the prin- 
ciple of the regulated business concern and 
the substitution of municipal or public 
ownership. 

Xo matter how much the decision of the 
board may be misrepresented and mis- 
understood, or to what extent through mis- 
representation and misunderstanding pre- 
judice may be created, it cannot, unless 
it fails in the performance of its duty, per- 
mit this to influence its action. 

The performance of this duty requires, 
when conditions justify it, that rates should 
be reduced to prevent the exaction of more 
than a reasonable price for the service 
afforded. The reduction of rates naturally 
is far more popular than their increase. It 
is. therefore, much more agreeable to pub- 
lic officials to reduce rates when reasonable 
to do this. 

But Increases in rates cannot, in the 
proper jjerformance of public duty, be denied 
when they are justly due. Though the 
allowance of increases may result in mis- 
understanding and false cliarges of undue 
favoritism to corporate enterprises, the 
public officials upon whom the law imposes 
the duty of increasing rates when existing 
rates are insufficient, must perform this 
duty, disagreeable though it may be. 

It seems to us that in much of the recent 
discussion of the public utility question 
this fact is not appreciated. There are 
those who urge in effect that the efforts 
of a public utility corhmission should be 
directed, not to dealing fairly with the 
people and the utilities who serve them and 
to see that both are protected in their just 
rights, but to ascertaining that those who 
claim to speak for the public demand, and 
allow it without question or considera- 
tion of the effect upon the utility. 

Such a contention, if it is to shape the 
public utility policy of the State, can 
only lead to disaster. Its primary effect 
would be the widespread ruin of public util- 
ity enterprises. After this would come 
demoralization of service, inability to at- 
tract capital to provide for the continued 
development necessary to meet the require- 
ments of growing communities, and a con- 
dition affecting the comfort and well being 
of the many thousands of our people to 
whom, under modern living conditions, the 
service afforded by public utilities is a 
necessity of existance. 

Rather than adopt any such policy, it 
would be far better not to continue the 



present plan to looking for companies in 
which private capital is invested for any 
form of public utility service, but provide 
as speedily as possible for public ownership 
and operation. The arguments that greater 
efficiency, more economical operation and a 
more satisfactory service can be obtained 
with private ownership, subject to public 
regulation, have no force if the serious 
problems it involves are not to be fairly 
considered and reasonably determined with 
justice to all ; but are to be regarded as 
something to be juggled with to gain the 
applause of those who give no heed to their 
true significance and importance, and fail 
to appreciate the ultimate effect of ill-con- 
sidered action. 

The report indicates that electric 
railways, being the largest employers 
of labor among public utilities, have 
been particularly affected by wage in- 
creases. In 1914 the operating ex- 
penses and taxes of the electric rail- 
ways were 66.2 per cent of the oper- 
ating revenues. In 1918 they were 76.1 
per cent. While increased travel and 
higher fares resulted in 1918 in in- 
creased operating revenues to the 
amount of $4,541,186 over 1914, the 
net return was $782,481 less than in 
that year, when fewer cars were in 
service and the investment of capital 
smaller. 

Besides reviewing the work of the 
past year, including an historical sketch 
of the Public Service Railway rate case, 
the report contains a chapter devoted 
to a discussion of jitney competition, in 
which it is suggested that jitneys be 
subjected to proper regulation, a dis- 
cussion of conditions compelling rate 
advances and comment by the commis- 
sion upon the suggestion for an inde- 
pendent appraisal of public utilities as 
a means of determining rates. 



Vote for Municipalization 

At the municipal elections on Jan. 1, 
the ratepayers of Guelph, Ont., car- 
ried by a majority of five to one the 
by-law providing for the purchase of 
the Guelph Radial Railway on July 1 
of this year. They also carried the 
by-law authorizing the issue of $855,- 
235 of debentures, being Guelph's share 
of the hydro-radial line from Hamilton 
to Gait, to Preston, Elmira and Guelph. 
The majority was almost five to one. 

By a majority of 956 the ratepayers 
of Gait, Ont., carried the by-law pro- 
viding for the issue of debentures cov- 
ering Gait's share of the proposed 
hydro-radial line from Hamilton to 
Gait and on to Guelph. 

The by-law providing for the taking 
over of the lighting plant of the street 
railway at Windsor, Ont., was carried 
by a majority of 1,400. 

The hydro-radial by-law guarantee- 
ing $630,000 as Hamilton's share of 
the line to Guelph to bt built by the 
Hydro-Radial Commission was. carried 
by a majority of nearly 2,000. 

Sir Adam Beck, chairman of the 
Hydro Commission, has been seriously 
ill in England with pneumonia.. He is 
now reported to be somewhat improved. 
A. B: Lucas is acting chairman in the 
absence of Sir Adam. 

The claim of the commission against 
the Dominion Government for about 
$1,250,000 has been referred to the Do- 
minion power board. 



"Social Function of 
Engineer" 

Lectures to Be Given by Prof. Marx — 

Other Courses at New School 

for Social Research 

The New School for Social Research of 
New York has arranged for a series of 
weekly lectures on "The Social Function 
of the Engineer," to begin on Feb. 2, 
and be given each Tuesday evening 
thereafter for twelve weeks at the 
school, 465 West Twenty-third St., New 
York. The course will be conducted by 
Guido H. Marx, professor of mechan- 
ical engineering at Leland Stanford 
University. 

The theory upon which the course 
is based is that the production and 
distribution of goods is now funda- 
mentally an engineering as well as 
social problem. The engineer's func- 
tion is to insure the full use and un- 
impeded operation of the material re- 
sources and industrial equipment of the 
nation, with a view to secure a larger 
volume of production and a more ade- 
quate distribution of the output. The 
purpose of the course will be to 
reach a common understanding of the 
existing industrial and social problem. 

The New School of Social Research 
at which this course will be given was 
founded last year by a group of men 
who believed that there was educational 
need for an institution of this kind. 
Its purpose is to supply instruction of 
a "post-graduate" character, although 
an academic degree is not required for 
admission. Each student is assumed to 
be pursuing his particular studies for 
their own sake for his own aims, so 
there is no prescribed courses of study 
or fixed curriculum. There is also no 
grant of degrees. 

The courses given last year related 
particularly to the so-called "human 
sciences," such as history, economics, 
psychology and social and political 
science. 

Abandonment Put Oflf 

Public Service Commissioner Lewis 
Nixon of New York City on Jan. 6 
made public correspondence between 
himself and Adrian H. Larkin, coun- 
sel to the electric railways on Staten 
Island, in which Mr. Nixon requested 
the company not to stop service in 
Richmond before Jan. 19. 

Mr. Larkin has agreed to recommend 
to the company that no notice concern- 
ing the proposed cessation of operation 
shall be posted before Jan. 16, and that 
the notice, when posted, shall provide 
that discontinuance of service shall not 
take place earlier than Jan. 19. 

Commissioner Nixon points out in his 
letter to Mr. Larkin that such post- 
ponement of cessation of operation will 
give opportunity to the committee ap- 
pointed by Commissioner Nixon on Dec. 
29, to make recommendations to the 
Board of Estimate and for the Board 
to act upon such recommendations if 
it desires. The companies had pre- 
viously agreed to refrain from closing 
down before Jan. 10. 



Januarij 10, 1920 



Electric Railway Journal 



117 




Planning to Enter Cleveland. — It is 

rumored in Akron, Ohio, that the 
Northern Ohio Traction & Light Co. 
will enter Cleveland over a private 
right-of-way, in the event that the 
Cleveland Union Terminals Co. is 
finally defeated. The inference is that 
connection vdll be made with the right- 
of-way of the Nickel Plate Railroad at 
some point. 

Story in Pictures. — Toledo Railways 
& Light Co., Toledo, Ohio, recently pub- 
lished an attractive pamphlet vdth this 
title, descriptive of its new office build- 
ing in Toledo. Views are shown of the 
showrooms and employees' quarters, 
etc., as well as of the power station, 
substation, principal carhouses and il- 
lustrations of some of the company's 
activities. 

Wage Award Payments Made. — Pay- 
ment was made by the Northampton 
(Mass.) Street Ry. on Dec. 24, last, of 
back pay to June 1. This was in ac- 
cordance with the decision of the State 
Board of Arbitration, which rendered a 
finding recently. The old rates for 
trainmen were from 35 to 40 cents an 
hour. The new rates are from 44 to 
54 cents an hour. 

Jamaica Carmen Strike. — The con- 
ductors and motormen employed by 
the West India Electric Co., Ltd., 
which operates the electric railway sys- 
tems in Kingston, Jamaica, went on 
strike for higher wages on Dec. 26. 
Under the terms of the franchise of the 
company the right is reserved to the 
government to take over and manage 
the affairs of the company if service is 
not restored within a specified time. 

Contests Air Brake Ordinance. — The 

Peoria (111.) Ry. has taken first steps 
to test the validity of the city ordi- 
nance demanding that airbrakes be 
placed on all cars operating in that 
city. The company has filed ten cases 
to the Circuit Court of Appeals. Prose- 
cutions were started by City Attorney 
Harry Reyl under the ordinance of 
Sept. 27, 1917, which required that all 
street cars operated in the city be 
equipped with airbrakes. 

Program of Bureau of Standards. — 

As a part of its program for the next 
fiscal year the Bureau of Standards, 
Washington, D. C, will undertake an 
investigation of the standards of prac- 
tice and the methods of measurement of 
public utilities, including electric rail- 
ways. An appropriation of $200,000 is 
available for carrying on the work. 
The immediate direction of the inquiry 
will be placed in the hands of an elec- 
trical engineer who will be paid a sal- 
ary of $4,200. 



Mid-Crosstown Transit to Be Dis- 
cussed. — Transit Construction Commis- 
sioner John H. Delany has called a 
hearing for Jan. 20 at which considera- 
tion will be given to petitions and pro- 
posals for readjusting, redistributing or 
diverting rapid transit passenger traffic 
in the central section of Manhattan. 
These proposals are several in number, 
and include suggestions for the con- 
struction of a moving platform under 
Forty-second St., Manhattan; extension 
of Queensboro subway west to Eighth 
Ave., under Forty-second St.; a change 
in the route of the Queensboro subway 
through Forty-first St. instead of 
Forty-second St., west of Park Ave.; a 
subway loop through Forty-second St. 
and Thirty-fourth St., and certain 
north and south avenues, and a pro- 
posal for a local service connection be- 
tween the subways on the East and on 
the West sides of the city. 

New Jersey Board Considers Criti- 
cism Unjust. — The Board of Public 
Utility Commissioners of New Jersey 
has expressed its gratification that the 
complaint of Montclair against the 
commission in the Public Service Ry. 
zone case was legally and judicially dis- 
posed of by Acting Governor W. N. 
Runyon. The board regrets, however, 
that the Acting Governor "should have 
so unfairly abused the power of his 
office by indulgence in an unjust criti- 
cism of the personnel of the board, 
using the proceedings before him as an 
excuse for so doing. As noted in the 
Electric Railway Journal for Jan. 3, 
page 68, Montclair officials demanded 
that the commission be ousted from 
office. The Acting Governor dis- 
missed the charges of wrongdoing by 
the commission, but said that in his 
opinion the public had lost confidence 
in the commission. 

Public Telephones on Transit Lines. — 
Forms of agreement for the immediate 
installation of telephone booths on sta- 
tions of elevated and subway lines for 
the use of the traveling public, have 
been transmitted to officials of the In- 
terborough Rapid Transit Co., the New 
York Municipal Railway Corporation 
and the New York Telephone Co., by 
Transit Construction Commissioner 
John H. Delaney. The form of agree- 
ment provides for the installation of as 
many booths as may be necessary at 
each of the 517 rapid transit stations 
in the several boroughs. The booths 
will be located along the platforms ad- 
jacent to the operating tracks. All tele- 
phones will be of the coin slot type. 
The telephone company will pay to the 
operating roads as rental, 10 per cent 
on the first 50 cents received, 5 per 
cent additional on the next 25 cents, 
and 20 per cent on all receipts above 
$1 per diem. 

Report Satisfactory Construction 
Progress. — A report showing that 
many of the large subway contracts in 
New York City will be completed and 
ready for operation next spring and 
summer, has been submitted to Gover- 
nor Smith by Transit Construction 
Commissioner Delaney with jurisdic- 



tion in New York City. The report 
deals with the entire subject of rapid 
transit construction which, it says, has 
progressed satisfactorily despite seri- 
ous conditions for the last two years. 
Mr. Delaney declares he has been con- 
fronted with a difficult problem in ob- 
taining the necessary unskilled labor 
and that the materials market not only 
has been uncertain, but is becoming 
more acute every day. He said, that 
while these conditions make an accurate 
forecast impossible, the indications are 
that the large contracts now under way 
will be completed and ready for opera- 
tion. He then outlined the probable 
opening dates for various branches of 
the new lines. These are very largely 
of interest only to residents of the city 
of New York. 

Bus Rights Forfeited. — The De Luxe 
Transportation Company discontinued 
the operation of motor buses between 
San Jose and Oakland, Cal., on Oct. 1 
without the consent of the Railroad 
Commission of California. On Dec. 10 
the commission denied the De Luxe 
Company authority to transfer its per- 
mit to other operators who had offered 
$2,500 for it. The commission's ruling 
says: "Equipment could have been 
procured from other sources or by the 
lease of cars, and the public, who were 
entitled to service, could have obtained 
transportation. The obligation to ren- 
der service to the traveling public be- 
tween Oakland and San Jose was not 
complied with. The commission ex- 
pects and will require transportation 
companies fully to discharge their ob- 
ligations to the public in accordance 
with schedule filings and other regula- 
tions of the commission and suspension 
of service without the consent of the 
Railroad Commission will be regarded 
as a relinquishment of any operative 
rights which have been conferred by 
the commission." 

Plan to Connect Municipal and Pri- 
vate Line. — Charles S. Butts, superin- 
tendent of the St. Louis Free Bridge, 
who recently asked the Aluminum Ore 
Company about the feasibility of con- 
necting the proposed municipal bridge 
line and the railway of the Southern 
Traction Co., has been told by C. B. 
Fox, general manager of the company, 
that until the Southern Traction is out 
of the hands of the Federal Court he 
cannot discuss its plans. The road was 
sold a short while ago to the Aluminum 
Ore interest, after C. D. Mepham, St. 
Louis promoter, had failed on the sec- 
ond payment for the road. He had 
purchased it from the receiver in Sep- 
tember. Superintendent Butts had 
planned to connect with the Southern 
Traction in order to reach Fourth and 
Broadway, East St. Louis, with the 
municipal line and to establish a do%%Ti- 
town loop in St. Louis for the Southern 
Traction. Mr. Fox said that the Alum- 
inum Ore Co. had bought the road for 
the purpose of bringing coal into East 
St. Louis for its own use and that he 
hardly thought the company would use 
the free bridge under the present 
ordinance. 



118 



Electric Railway Journal 



Vol 55, No. 2 



Financial and Corporate 



Reorganization Modified 

Oakland, Antioch & Eastern Plan Again 

Changed With Approval of 

California Commission 

In an amended application filed on 
Dec. 22 by the reorganization commit- 
tee of the Oakland-Antioch Ry., the 
California Railroad Commission is 
asked to modify furthed its order in 
the proceedings. It is now proposed 
that the bondholders of the Oakland, 
Antioch & Eastern Ry., Oakland & 
Antioch Ry. and San Ramon Valley 
R.R. exchange their bonds for common 
and preferred stock of the new com- 
pany. 

Basis of Exchange 

In exchange for such bonds, they 
are to receive 7 per cent preferred 
stock in an amount equal to 20 
per cent of the bonds deposited under 
the reorganization plan and common 
stock in an amount equal to 100 per 
cent of the bonds so deposited. In 
brief, a person owning or holding a 
$1,000 bond would receive under the 
reorganization plan, as now proposed, 
$1,000 of common and $200 of 7 per 
cent preferred stock in exchange there- 
for. Under the terms of the original 
plan of reorganization, a person own- 
ing a $1,000 bond would have received 
$600 of common stock, $200 of 6 per 
cent prefeiTed stock and $200 of bonds. 
The reorganization committee asks 
that the new company be permitted to 
issue approximately $6,550,000 of com- 
mon stock and $1,330,000 of preferred 
stock, making a total of $7,880,000. In 
addition, the commission is asked to 
authorize the new company to execute 
a mortgage securing the payment of 
$3,000,000 of bonds and permit the new 
company to issue forthwith under such 
mortgage not to exceed $900,000 of 6 
per cent serial bonds for the purpose 
of securing moneys necessary to pay 
off prior liens, pay off non-assenting 
bondholders, provide working capital, 
pay such reorganization expenses as 
may not be paid otherwise and to pay 
cost of extensions, additions and bet- 
terments. The $900,000 of bonds, if 
issued, will constitute a first lien upon 
the properties now owned by the Oak- 
land, Antioch & Eastern Ry., Oakland 
& Antioch Ry. and San Ramon Valley 
R.R. At a former hearing, it was re- 
ported that about $6,500,000 had been 
invested in the properties of these com- 
panies. 

On June 26, 1919, the Railroad Com- 
mission authorized the corporation 
which might acquire the properties of 
the Oakland, Antioch & Eastern Ry., 
Oakland & Antioch Ry. and San Ramon 
Valley R.R. to issue not exceeding $1,- 
950,000 of first mortgage bonds bear- 



ing interest at not more than 6 per 
cent and not exceeding $1,330,000 of 
6 per cent preferred stock and $4,000,- 
000 of common stock. 

The reorganization plan contem- 
plated that all of the stock and not 
exceeding $1,330,000 of the bonds would 
be exchanged for outstanding bonds 
and indebtedness of the Oakland, An- 
tioch & Eastern Ry., Oakland & Anti- 
och Ry. and San Ramon Valley R.R. 
It was estimated that after the ex- 
change of the stocks and bonds of the 
new company for bonds and indebted- 
ness of the old company, there would 
be available for sale at least $620,000 
of the new company's bonds. 

The reorganization committee found 
it impossible to market the bonds, and 
it therefore, on Nov. 12 asked the com- 
mission to modify its decision of June 
26 so as to permit the new company 
to issue not exceeding $4,000,000 of 
common, not exceeding $1,330,000 of 
6 preferred stock, and not exceeding 
$2,100,000 of bonds. The request of 
the company was granted on Nov. 19. 
The principal change introduced by the 
amendment to the reorganization plan 
was the proposed issue of a five-year 7 
per cent bond instead of a twenty-year 
bond bearing interest at not more than 
6 per cent per annum, and providing 
for the sale of $770,000 instead of 
$620,000 of bonds. 



London Lines Reported Sold 

It was reported from London on Jan. 
3 that Speyer Brothers have sold their 
interests in the London Electric Rys. 
to Solly Joel, of Barnato Brothers, 
for £500,000. The Speyers became in- 
terested in London traction when the 
late Charles T. Yerkes undertook the 
electrification of the old steam under- 
ground railway and construction of 
several additional subway lines. He 
obtained considerable quantities of 
American capital to finance his schemes 
through the Speyer Brothers, of whose 
London house Sir Edgar Speyer, baro- 
net, was head. Sir Edgar put through 
in 1912 a merger of the underground 
railways and the London General Om- 
nibus,, Co. He was chairman of a group 
of companies until May, 1915, when he 
took up his residence in America. One 
of the press dispatches dealing with 
the sale says that special interest is 
taken in the sale of the Speyer hold- 
ings, as it comes on the eve of the ap- 
plication by the underground company 
to Parliament for authority to double 
its fares. 

At the office of Speyer & Co. in New 
York inquirers were referred to Sir 
Edgar Speyer at his home in New 
York. Efforts to reach Sir Edgar him- 
self were unavailing. 



Valuation Elements Decided 

"Going Value" Must Be Taken As 

Element of Valuation, Says 

State Supreme Court 

The jurisdiction of the Public Utili- 
ties Commission in the fixing of rates 
for service, and the affirmation of "go- 
ing value" as an element of valuation 
which must be included, are two ques- 
tions which have been apparently defi- 
nitely settled by two recent unanimous 
decisions of the Supreme Court of Ill- 
inois. The two decisions in point had 
to do with the Quincy traction case and 
the Springfield gas case. These two 
decisions are believed to clarify many 
points of controversy in the regulation 
of public utility companies and are 
thus considered of far-reaching im- 
portance. 

Cases Reviewed 

In the Quincy traction case decision 
referred to in the Electric Railway 
Journal for Dec. 27, page 1,064 and 
Jan. 3, page 74, the court holds une- 
quivocally that the powers of the Pub- 
lic Utilities Commission supersede all 
of the rate-regulating powers ever 
granted to municipalities in the State 
of Illinois. So called "contract ordin- 
ances" or other forms of rate contracts- 
between municipalities and utility com- 
panies are of no avail, the court states 
further, because municipal authorities 
in Illinois have never been clothed with 
power to make binding contracts fixing 
rates for a definite term of years. 
Without this specific and definite 
power, municipalities could not make 
binding contracts under the general 
rate-regulating powers delegated to 
them by the Legislature prior to crea- 
tion of the Public Utilities Commission. 
The net result is that the Public Utili- 
ties Commission has full power to 
change any public utility service rate 
in Illinois hitherto fixed by the local 
authorities. 

"Going Value" Always Present 

The principal feature of the Spring- 
field gas case decision was the state- 
ment by the court that "going value" 
is always present, and is one of the 
elements that must be taken into ac- 
count in the valuation of a public util- 
ity. The decision of the court goes on 
to discuss at length the elements to be 
considered in fixing rates, and makes it 
a prime duty of the Public Utilities 
Commission to see that rates are "just 
and reasonable." It explains that be- 
cause a rate is not confiscatory, does 
not necessarily mean that it is just and 
reasonable. 

The decision reads: 

The real test of the justice and reason- 
ableness of any rate seems to be that it 
should be as low as possible, and yet suf- 
ficient to induce the investment of capital 
in the business, and its continuance therein. 
An unwise administration of regulatory' 
laws will drive capital from this field and 
bring- on public calamity by causing the 
utilities to cease to function. It is equally 
important to the public and to the utility 
that the rates established be just and 
reasonable. A just and reasonable rate, 
therefore, is necessarily a question of sound 
business judgement rather than one of legal 
formula, and must often be tentative since 
exact results cannot be foretold. 



January 10, 1920 



Electric Railway Journal 



119 



In other words, it would seem to be 
the court's reasoning that the Public 
Utilities Commission should allow a 
utility company some latitude in its 
rates for meeting contingencies such as 
the fluctuating costs of material and 
labor, changing conditions affecting its 



business, etc., rather than tie it hand 
and foot to arbitary standards. The 
court goes on to emphasize this point 
by stating that "the commission cannot 
substitute its own business discretion 
or judgment for that of the directors 
of the corporation." 



$80,466,100 in Maturities 

About 40 Per Cent of Grand Total of $196,296,800 Utility Maturities 
in 1920 Fall to Electric Railways 



While the number of public utility 
securities facing due in 1920 is un- 
usually large, the aggregate is only 
$196,296,800 against $261,887,600 in 
1919 and $210,500,000 in 1918, accord- 
ing to the Wall Street Journal. During 
1919 public utility bonds called in ad- 
vance of maturity aggregated $5,108,- 
000. A feature of 1920 maturities is 
the large number of short-term obli- 
gations falling due. 

Owing to tight money and other re- 
strictions during the war period, utility 
corporations did not find it advantage- 
ous to issue long term bonds and were 
obliged to resort to short term notes 
to tide them over abnormal times. 
Should money become easier in 1920 
doubtless many of the maturing obliga- 
tions will be refunded with long term 
issues. 

Below is given in detail, as compiled 
by Dow, Jones & Co., the various elec- 
tric railway issues of more than 
$200,000 maturing in 1920, in the order 
of their due date: 

January 

Tol. Traction, Lt. & P. 2-yr 7 $10,500,000 

Manchester Trac. Lt. & P. notes.. . .6 1,500,000 

United Light & Rys. notes 6 1,500,000 

Little Rock Ry. & Elec. notes 6 600,000 

New Bed., Middleboro & B. St. R. . . 5 325,000 

Lincoln Traction 1st 5 250,000 

Lorain Street Ry. 3-yr. notes 6 200,000 

Republic Ry. & Light 2-yr. notes.. , . 6 1,500,000 

Total $16,375,000 

February 

Georgia Ry. & Pwr. 2i-yr. notes 6 $2,500,000 

Richland Co. notes 7 759,000 

Saginaw Valley Traction 1st 5 670',000 

Washington Water P. 1-yr. notes:. . . 6 2,900,000 

Total. . $6,820,000 

March 

United Nat. Utilities 3-yr. notes 6 $1,800,000 

Worcester Consol. St. Ry. deb 4} 700,000 

Maumee Val. Rys. & Lt. 1st 4| 500,000 

Tol. & Maumee Val. Ry. 1st 5 300,000 

Total $3,300,000 

April 

Joplin & Pittsburgh Ry. gen 6 $1,050,000 

Lexington & Boston St. Ry. 1st 41 500,000 

Det. & Lake St. Clair Ry. 1st 5 390,000 

Wichita R.R. & Light 1st 5 300,000 

Total $2,240,000 

Ma,y 

Milwaukee E. R. & L. 2-yr, notes. . . 7 $2,000,000 

St. Louis R.R. Ist ^ 1,948,000 

United Lt. & Rys. ser. A notes 6 1,500,000 

Sou. Ohio Trac. Ist cons 5 1,350,000 

Canton-Massillon El. Ry. 1st 5 840,000 

Dayton Trac. Ist extended 5 250,000 

Prospect Park & C. I. inc 6 250,000 

Total ; $8,138,000 

June 

Tenna. Ry. Lt. & Pwr. notes 7 $2,500,000 

Monongahela Val. Tr. 1-yr. notes.. .6 2,000,000 

Det., Roch. R. & L. Orion Ry. 1st. .5 1, 100,000 

Chattanooga Ry. & Lt. notes 7 750,000 

Total $6,350,000 



July 

Columbus Ry. P. & L. 2-yr. notes. . . 7 $2,500,000 

Middle West Utilities 3-yr. notes 6 1,000,000 

C. North Shore & M. ser. notes 6 360,000 

Houghton County St. Ry. 1st 5 267,000 

St. Francois County R.R 5 250,000 

Aurora, Plainfield & J. Ry. notes 6 200,000 

Buff. Lock, &R. Ry. 2nd 6 200,000 

Total $4,777,000 

August 

Inter. Traction 3-yr. notes 6 $2,000,000 

West End St. Ry. debs 7 1,581,000 

Or. Rap. Hoi. & L. M. R. Ry. 1st... 5 1,475,000 

Cleve. Elyria & West 1st 5 1,073,000 

El Paso Electric 3-yr. notes 6 300,000 

Cleve. & Elyria E. Ry. 1st ext 5 200,000 

Ch., Nor. Sh. & Mil. 1-yr. notes 6 600,000 

Total $7,229,000 

Se-ptemher 

Middle West Utilities 3-yr. notes 6 $1,000,000 

Chicago & West Towns Ry. 1st 7 750,000 

Ohio Traction notes 6 350,000 

United Rys. of St. L. rec. ctfs 6 2,300,000 

Total $4,400,000 

October 

Tol. Fostoria & Find. Ry. 1st 5 $385,000 

Total $385,000 

November 

Mah. &ShenangoRy. &L. consA 5 $11,200,000 

ScrantonRy. general 5 1,000,000 

Middle W. Util. 3-yr. notes 6 782, 1 00 

Hagerstown & F. Ry. notes 6 550,000 

Ma. & Shenango Ry. & L. cons B 6 550,000 

Empire S. R. R. C. 3-yr. notes 6 350,000 

Total $ 1 4,432, 1 00 

December 

Portland Ry. Lt. & P. notes 7 $2,500,000 

United Lt.& Rys. 1-yr. notes 7 1,500,000 

Toronto Ry. 2-yr. notes 6 1,000,000 

Ark. Valley Ry. Lt. & Pwr. notes 7 350,000 

Brockton & Plymouth St. Ry, 1st 4i 260,000 

Citizens El. St. Ry. 1st 5 230,000 

Ottumwa Ry. & Light notes 5 200,000 

Total $6,040,000 

Bonds and notes maturing in January. . $ 1 6,375,000 

Bonds and notes maturingin February. 6,820,000 

Bonds and notes maturing in March. . . 3,300,000 

Bonds and notes maturing in April. . . . 2,240,000 

Bonds and notes maturing in May 8,1 38,000 

Bonds and notes maturing in June 6,350,OOo 

Bonds and notes maturing in .July 4,777,000 

Bonds and notes maturingin August.... 7,229,000 

Bondsand notes maturing in September 4,400,000 

Bonds and notes maturing in October . . 385, 000 

BondsandnotesmaturinginNovember. 14,432, 100 

Bonds andnotesmaturingin December. 6,040,000 

Total electric railway maturities. . . $80,466,100 
Grant total public utility issues ma- 

turingin 1920 $196,296,800 



Abandonments in San Diego 

Read G. Dilworth, general counsel 
for the San Diego (Cal.) Electric Ry., 
notified the Council on Dec. 23 of the 
company's intention Jan. 1 to suspend 
operation of cars on the following lines: 

Route No. 13 — From Fourth and Spruce 
Sts. to Third and Broadway. 

Route No. 8 — From Twenty-fifth and F 
Sts. to Arctic and F Sts., thence to Arctic 
and Broadway ; thence to State and Broad- 
way ; thence to State and F. 

Point Loma line — On the loop between 
rington St. with Tennyson St. and the 
approximately the intersection of War- 
intersection of DeFoe with Santa Cruz 
Ave. 



One-Third of Charges Paid 

Testimony So Shows In Suit Brought 

Against Pittsburgh Railways by 

Philadelphia Company 

The receivers for the Pitt.sburgh 
(Pa.) Rys., in the past eighteen months 
they have been in control of the com- 
pany, have paid $1,738,936 on the fixed 
charges of the company, or just about 
one-third of the $5,153,673, made up 
mostly of bond interests, rentals and 
interest on notes. The figures were sub- 
mitted by J. A. Meade, auditor for the 
company, in a hearing before the 
United States District Court on the ac- 
tion of the Philadelphia Co., parent 
company of the traction system, which 
seeks to recover $1,272,452 that had 
been advanced on behalf of the traction 
company. 

Company Entitled to Relief 

Attorneys for the Philadelphia Co. 
urged upon the court that the Phil- 
adelphia Co. was entitled to relief 
through the funds in the hands of 
the receivers, who are using the prop- 
erty upon which the parent company 
is meeting fixed charges. Attorneys 
for the city of Pittsburgh and for 
certain of the active subsidiary com- 
panies in the traction system, argued 
that the fact that the Philadelphia Co., 
through guarantees it gave at the for- 
mation of the traction system, was 
forced to pay certain fixed charges did 
not constitute any reason why the re- 
ceivers should be made to reimburse the 
Philadelphia Co. to the disadvantage of 
less favored creditors; further, they 
said, this action of the parent concern 
was being opposed by guaranteed as 
well as non-guaranteed creditors. 

The receivers' books, according to Mr. 
Meade, showed the following situation 
on Dec. 1 : 

Paid Unpaid 

Bond interest $1,126,430 *$2, 100,660 

Rentals (for use of 
underlying com- 
panies) 611,774 *784,947 

Interest on various 

notes 732 539,131 

Total $1,738,936 $3,153,737 

*Philadelphia Co. claims to have paid $1,- 
272,452 on these two items. 

Attorneys for the Consolidated Trac- 
tion Co., one of the subsidiaries, 
brought out in cross-examination of Mr. 
Meade that the receivers had $2,237,000 
in the bank at the close of business on 
Dec. 23, but counsel for the receivers 
immediately explained that this was 
only an apparent and not an actual 
balance. During the examination of 
the auditor, the attorneys drew this 
explanation : 

That cash is like a man's pay envelope 
before he begins to pay the bills. T\'e g:et 
our money in cash dally and pav it out at 
intervals. Out of that $2,237,000. we must 
pay between now and the first of the year, 
$900,000 more of the month's operating ex- 
penses, $100,000 on pre-receivership supply 
bills, and on Jan. 1 we pav the State $250.- 
000 in taxes, a total of $1,250,000, leavins 
$1,000,000, roughlv, for working- capital. 
Out of $1,000,000 we must meet accruing 
items. This will take the entire $1,000,000. 

Judge C. P. Orr asked attorneys for 
briefs. He will announce his decision 
later. 



120 



Electric Railway Journal 



Vol. 55, No. 2 



Appraisal of Memphis Street Railway 

study of Full Report Shows Unanimity of Opinion as to Basis of 

Valuation with Exception of Superseded Property Value and 

Method of Figuring Interest on Development Cost 



On page 70 of our issue of Jan. 3 
appeared a reference to the report of 
Albert S. Richey, who represented the 
Railroad & Public Utilities Commission 
of Tennessee in the appraisal of the 
Memphis (Tenn.) Street Ry. The 
full report together with statements 
by J. H. Perkins, representing the re- 
ceivers of the company, and Ross W. 
Harris, representing the city, wherein 
they differ is now available and enables 
the publication of exact figures. 

All of these representatives agreed 
not only on the entire inventory and 
unit costs but also on the moot ques- 
tions of amounts to be allowed for 
ommisions and contingencies, engineer- 
ing and superintendence, franchise 
costs, law expenditures, interest, in- 
juries and damages, taxes during con- 
struction, miscellaneous construction 
items including promoter's reward, cost 
of financing and working capital. 

Using the commission's appraiser's 
figures as a basis the only real differ- 
ences between the appraisals of the 



tory was made by the company's rep- 
resentative, but under the joint and 
constant supervision of the three ap- 
praisers. A count was made of the 
various items of physical property in 
existence July 1, 1919, and classified 
according to the I. C. C. classification 
of road and equipment accounts. In 
many cases it was possible to list the 
items by actual inspection, |While other 
items, such as the elements entering 
into track construction had to be listed 
. from the company's records and then 
checked partly by inspection or through 
records of the City's Engineer's Office. 
Information as to real estate owned 
was obtained from the deeds, and the 
prices put upon the various pieces was 
wherever ascertainable, the actual price 
paid. No allowance whatever was made 
for real estate valued at $205,227, 
donated to the company. Where actual 
records were unattainable, values were 
fixed by a real estate appraiser selected 
by agreement between the receivers 
of the company and the commission's 



SUMMARY OF APPRAISAL 
Acct. No. Item 

501 Engineering and superintendence (6% of 502-542) $428,872 

502-542 Cost of physical property 7,147,873 

545 Procurement of franchises (0.25% of 502-542) 17,870 

546 Law expenditures (0.5'/r of 502-542) 35,739 

547 Interest during construction [4% of (501-546) + 548] 307,359 

548 Injuries and damages (0.757o of 502-542) 53,609 

549 Taxes prior to operation [0.35% of (501-546) + 548] 26,894 

550 Miscellaneous : 

(a) Costs prior to construction [5.25% of (501-546) + 548] 403,408 

(b) Construction expenditures [2%, of (501-546) + 548] 153,679 

(X) Working capital, including materials and supplies 330,000 

(Y) Cost of financing [4.5% of (501-550) + X] 400,739 

(Z) Development cost 787,579 

Total, excluding superseded property $10,093,621 

Superseded property 1,930,544 

Total valuation $12,024,165 



three engineers are, first: Mr. Perkins 
compounded his interest in figuring de- 
velopment cost, and second, Mr. Harris 
reduced the amount of the investment 
allowed by ommitting superseded prop- 
erty to the extent of nearly $700,000, 
this resulting in wiping out the "De- 
velopment Cost" item, for it becomes 
zero at the end of twelve years. How- 
ever, the treatment of development cost 
by both Messrs. Harris and Richey were 
exactly the same, so far as the method 
of its determination was concerned. 

With regard to depreciation, which 
Mr. Harris terms "functional superses- 
sion," all seemed to agree on the fun- 
damentals laid down, namely, that no 
deduction should be made. 

Physical Property 

The basis used in making the ap- 
praisal was the original or historical 
cost of the property as of July 1, 1919, 
and in general the principles outlined 
by the Massachusetts Public Service 
Commission in the Middlesex & Boston 
Street Ry. rate case (2 Mass. P. S. C. 
Rep. 107) were followed. 

By agreement, between the three 
parties of interested engineers, an inven- 



engineer. The total real estate value 
so assigned, however, was only $8,702. 

Labor quantities and unit prices were, 
so far as possible, taken from the 
company's records, otherwise estimates 
prepared by the company's employees 
after being checked by the experience 
of the appraising engineers, were used. 

Unit prices, including cost of freight 
and handling, taken from the com- 
pany's records as for the time of in- 
stallation, were assigned to each item 
in the inventory. Average prices were 
used only for cases of large quantities 
of a similar type of material such as 
cross-ties. To offset the probability 
that some parts of the items of tools 
and office furniture had been paid out 
of operating expense an arbitrary de- 
duction of 10 per cent was made from 
the appraised value of all property 
listed under such accounts. 

Due recognition was also given to 
probable ommissions from inventory 
and to unavoidable construction losses, 
contingencies and to piecemeal con- 
struction. By agreement among the 
appraisers arbitrary additions ranging 
from 1 per cent on "Special Track 
Work" to 10 per cent on "Grading," 



"Roadway Machinery and Tools" and 
"Crossings, Fences and Signs" were 
allowed on all unit costs. The accom- 
panying summary shows that the total 
cost of physical property as determined 
by the inventory together with per- 
centages used for calculating the over- 
head costs. 

Development Cost 

"Development Cost" which is defined 
as the uncompensated cost incurred to 
bring the plant to a self supporting 
basis was held to be a logical sequel to 
"interest during construction," and en- 
tirely separate and distinct from 
"going concern value" and "franchisb 
value," which items are rarely con- 
sidered in a rate making appraisal. In 
determining the amount applicable tft 
this item the property additions and 
renewal and replacement reserve were 
tabulated by years from 1892 to 1919. 
The amount of working capital for the 
various years, however, fixed at $330,- 
000 for 1919, was calculated retrogres- 
sively as proportionate to the yearly 
operating expense. The amount invested 
in the property, as determined in the 
appraisal, including the allowance for 
superseded property, but exclusive of 
any allowance for development cost, 
fixed the value of the property as of 
1919, and from which the value for each 
year back to 1892 was calculated. 

To determine the yearly percentage 
return the net yearly income applicable 
to interest and dividends was applied 
on the value of the property. Taking 
7 per cent as being a fair return, the 
yearly deficit or credit both singly and 
cumulative was determined for the first 
10 years of electric operation. This 
cumulative deficit or "Development 
Cost," as it was termed, amounted to 
$787,579. 

Superseded Property 

The cost of superseded property was 
included under the theory that such 
property had either become obsolete or 
discarded through progress in the art 
or had become inadequate or rendered 
useless before the termination of its 
useful life and such property not hav- 
ing been amortized through income was 
entitled to a return. The early super- 
seded property was therefore listed 
and cost prices assigned either from 
the company's records or by estimates. 
The company's records which were un- 
usually complete were used entirely 
after 1905. Allowances were also made 
for salvage value and deductions on 
account of credits from the renewal 
and replacement reserve wherever pos- 
sible. 

The total amount found to be in- 
vested in superseded property, after 
deducting the present balance in the 
renewal and replacement reserve was 
$2,596,487. Of this amount, however, 
$665,943 represents cost of property, 
superseded prior to electrification in 
1893, which Prof. Richey recommends 
be deducted in arriving at the proper 
allowance for superseded property. Of 
the amount — $1,930,544 — over 90 per 
cent is represented by property super- 



January 10, 1920 



Electric Railway Journal 



121 



seded since 1905. Prof. Richey also 
holds that inasmuch as the company 
has never had more than a fair return, 
which might have enabled it to amortize 
such property, that the net cost of su- 
perseded property since Jan. 1, 1893, 
as above, either be included in the cost 
of property entitled to a return or that 
the company be permitted to establish 
a suspense account and charge it to op- 
erating expense distributed on a period 
of ten to fifteen years. 

Depreciation 

No allowance was made by the Com- 
mission's engineer either for actual 
depreciation or theoretical accrued de- 
preciation, as Prof. Richey, after a 
careful inspection, was convinced that 
the property was nearly, if not quite, 
in a condition of 100 per cent operating 
eflBciency, especially considering the dif- 
ficulties in securing proper labor and 
material during the past two or three 
years. He contended that so long as 
the property was in such a state that 
no deduction should be made from the 
original cost in arriving at rate base, 
and further if no more than a fair 
return had been paid on the amount 
invested in the property, no deduction 
should be made for depreciation in any 
event. 



Thursday, January 15 has been set by 
the commission for a hearing on this 
matter, and so far as the reports of the 
three appraising engineers are con- 
cerned, they have only two matters to 
decide, the amount to be allowed for 
"superseded property" and the question 
as to whether or not interest should be 
compounded in figuring development 
eost. 



Providence Holders Confer 

The general committee of security 
holders attempting to bring about a set- 
tlement of the railway situation in 
Providence met on Dec. 30. There 
were present on behalf of the bond- 
holders of the United Traction & Elec- 
tric Company, Philip L. Spalding and 
S. 0. Metcalf; on behalf of the bond- 
holders of the Rhode Island Suburban 
Ey., Cornelius F. Sweetland and Colo- 
nel H. Martin Brown; representing the 
United Traction & Electric Co. stock- 
holders, Michael F. Dooley and Fred- 
erick S. Peck. Colonel Frank W. Mat- 
teson was present unofficially repre- 
senting the New York, New Haven & 
Hartford R.R. 

A plan was submitted by the bond- 
holders of the United Traction & Elec- 
tric Co. and a general discussion fol- 
lowed. According to unofficial reports 
sentiment was developed of earnest en- 
deavor to get together on some plan 
with which to go before the Legisla- 
ture. No decision was arrived at be- 
cause the various subcommittees had 
to report back to their main bodies. It 
is said that these subcommittees will 
be immediately called together and that 
the entire group will meet again on 
Jan. 7. 

All claims against the Rhode Island 
Company are listed and classified and 



recommendations as to priority in their 
payment made in a report filed by the 
receivers in the Superior Court. With 
this report was filed a receivers' inven- 
tory, as of Oct. 31, 1919, bringing up 
to date the inventory made by Bacon, 
Ford & Davis in 1916. The report on 
claims, made in pursuance of a court 
decree of March 10, groups total claims 
of $10,764,542, into eleven schedules, on 
some of which the receivers make rec- 
ommendations regarding priority of 
liquidation. 



Chicago Receipts Increase 

Following the issuance of the 6-cent 
fare order, L. A. Busby, president, 
gave to the commission a report on 
earnings, expenses, traffic and wages 
for the Chicago Surface Lines for the 
month of November. This showed an 
increase over November, 1918, of 
$1,500,698 in gross earnings, and 
$1,081,074 in operating expenses, leav- 
ing net residue receipts of $954,162. 
Of this amount the companies' share 
was $786,991. Compared with a nor- 
mal period, November, 1916, there was 
a decrease of $65,689. Had the re- 
newal fund been carried at 8 per cent 
of gross instead of 5.74 per cent, the 
decrease would have been $164,312. 

Revenue passengers, compared with 
November, 1918, showed a material in- 
crease due to the infiuenza epidemic 
of last year. The figures were 61,876,- 
455, as against 56,363,005. The aver- 
age fare per passenger, including free 
and transfer, was 3.97 cents, compared 
with 2.86 cents. 

Total operating wages for the month 
amounted to $2,002,435, or 46 per cent 
of the gross receipts, an increase of 
$652,336 over November, 1918. En- 
deavoring to comply with the agree- 
ment to have 60 per cent of the runs 
on an eight-hour basis by Jan. 1, the 
companies had completed fifty-two of 
the new time tables, or 40 per cent of 
the whole, by the end of November. 
When this work has been finished 2,200 
additional men -will be needed to oper- 
ate the cars. The full cost of bonus 
time and overtime will not be known 
for a month or so. 



Increase in Receipts of Boston 
Elevated 

The Boston (Mass.) Elevated Ry.'s 
receipts for the three days preceding 
Christmas reached a high mark in the 
history of this company. The gross 
collections for the three days exceeded 
$100,000 a day. While these figures 
are abnormal, the general increase even 
for normal conditions is such as to 
cover the costs of service, including 
dividends, which amount to about $88,- 
000 a day. 

It is improbable that the favorable 
balance will result in a reduction of 
the 10-cent fare in the near future as 
the outstanding loan of $4,000,000 ob- 
tained from the State, together with a 
$1,000,000 reserve fund has been used 
up and the law requires that this 
deficit must be removed before the 
fare can be lowered. 



Maine Line Reorganized 

Lewiston, Augusta & Waterville Street 
Railway Has Been Succeeded by 
Androscoggin & Kennebec Railway 

The report has been confirmed which 
appeared in the Electric Railway 
Journal for Jan. 3, page 73, that the 
Androscoggin & Kennebec Ry. has suc- 
ceeded the Lewiston, Augusta & Water- 
ville Street Ry., the property of which 
was sold under foreclosure some time 
ago. In fact, the Androscoggin & Ken- 
nebeck Ry. took possession of the prop- 
erty on Oct. 1. 

Receivers Appointed in 1918 

The Levdston, Augusta & Waterville 
Street Ry. was petitioned into receiver- 
ship upon a creditor's bill brought by 
the Cumberland County Power & Light 
Co., Cumberland, Maine, on Dec. 16, 
1918, and William H. Newell and 
Alfred Sweeney, were appointed re- 
ceivers. 

On July 1, 1919, the Old Colony 
Trust Co., Boston, Mass., trustee of 
the first and refunding mortgage 5 
per cent bonds of the Lewiston, Au- 
gusta & Waterville Street Ry. fore- 
closed under the provisions of the 
mortgage. 

The property was sold at public 
auction on Sept. 5, 1919, by a special 
master appointed by the court and was 
bid in by a committee representing the 
bondholders of the Lewiston, Augusta 
& Waterville Street Ry. 

Branch Discontinued 

The receivers of the Lewiston, Au- 
gusta & Waterville Street Ry. had 
endeavored to be relieved of the opera- 
tion of three branch lines, namely, the 
Augusta-Winthrop, Augusta-Togus, and 
the East Auburn-Turner lines. The 
first two lines were covered by an 
underlying mortgage, and on account 
of the protest by the holders of the 
securities, the discontinuance of the 
lines could not be effected. The East 
Auburn-Turner line, however, was 
under the mortgage of the Lewiston, 
Augusta & Waterville Street Ry. only, 
and it was sold as a separate parcel 
and bid in without the franchises. This 
line, therefore, has not been operated 
since Oct. 1. 

Company's Statement of New 
Capitalization 

The Lewiston, Augusta & Waterville 
Street Ry. had outstanding capital stock 
of $3,000,000 and bonded debt of $3,659,- 
000. The successor company, the 
Androscoggin & Kennebec Ry., has out- 
standing $3,176,700 of stock, and 
$1,345,000 of bonds, or capital liabili- 
ties totaling $4,521,700. 

In consequence of the discontinuance 
of operation of the so-called Turner 
line, the mileage figure of the elec- 
tric railway property as at present 
operated is slightly less than that of 
the predecessor. The mileage of the 
Androscoggin & Kennebec Ry. is 
157.165 miles, whereas the mileage of 
the original property as operated by 
the Lewiston, Augusta & Waterville 
Street Ry. was 165.909 miles. 



122 



Electric Railway Journal 



Vol 55, No. 2 



Financial 
News Notes 



Kansas City Director Resigns. — R. J. 

Dunham, vice-president of Armour & 
Company, has resigned as a director of 
the Kansas City (Mo.) Railways. 

Application to Foreclose Granted. — 
The applications made to the court to 
abrogate leases of the Shore Line Elec- 
tric Ry., Norwick, Conn., made with the 
Connecticut Co., and to foreclose the 
Shore Line property, referred to in the 
Electric Railway Journal for Jan. 3, 
page 70, have been granted by Judge 
Warner. 

Car Trust Certificates Authorized. — 

The Board of Public Utility Commis- 
sioners has granted permission to the 
Morris County Traction Co., Morris- 
town, N. J., to issue $58,000 of car 
trust certificates for the purpose of 
making part payment on fourteen one- 
man cars. The board has also author- 
ized the company to dispose of ten 
old cars. 

January Coupon Not Paid. — The com- 
mittee on securities of the New York 
Stock Exchange has ruled that the New 
Orleans Railway & Light Co.'s general 
mortgage 4J per cent bonds, due 1935, 
be quoted ex the July 1, 1919, coupon 
on Jan. 5. Hereafter said bonds must 
continue to be dealt in flat. It was 
announced that the coupon due on Jan. 
1, 1920, would not be paid on that date. 

Cleveland Dividend Increase Ap- 
proved. — The City Council of Cleveland, 
Ohio, on Dec. 29 formally granted the 
Cleveland Ry. the right to increase the 
dividend rate on its stock from 6 per 
cent to 7 per cent in accordance with 
the recommendations of the arbitration 
board reviewed at length in the Elec- 
tric Railway Journal for Jan. 3, page 
71. The vote was eighteen to eight to 
amend the Tayler service-at-cost fran- 
chise grant to this effect. 

Kansas City-Western Ordered Sold. — 
The Kansas City-Western Ry., known 
as the Leavenworth interurban line, has 
been ordered sold on Feb. 16 by Fed- 
eral Judge John C. Pollock. The sale 
will be held by William Holmes, mas- 
ter in chancery. The order of the court 
■was in answer to a plea in behalf of 
bondholders filed by the Guaranty 
Trust Co., New York, trustee, under a 
mortgage securing bonds issued by the 
company. 

Operation Authorized. — The Public 
Service Commission for the Second Dis- 
trict of New York has authorized oper- 
ation and maintenance by the Erie 
County Traction Corporation of the 
former Buffalo Southern Ry. and it has 
also approved exercise of franchises of 
the former corporation. The road has 
been in operation for several years and 



the Erie company acquired it at fore- 
closure sale. Chairman Charles B. Hill, 
who heard the company's petition, says 
continued operation of the road is nec- 
essary and convenient for the public. 

Operation Continued With Subsidy. — 
The bondholders' committee of the 
Ocean City (N. J.) Electric Ry. has 
agreed to continue operating the road 
for the present under the agreement 
entered into last fall, the city paying 
$100 a month and the board of educa- 
tion a like sum a month to the company 
in order that the children might thus be 
conveyed to the schoolhouses. The city 
will later hold a special election to de- 
termine the matter of transportation 
for residents and visitors during the 
coming spring and summer. 

Let the City Do It.— J. W. Shartel, 
general manager of the Oklahoma 
Railway, was recently quoted as say- 
ing: "If the citizens of Oklahoma City 
can run the railway at a profit, I wish 
to heaven they'd take the line and do 
it." Mr. Shartel, however, pointed out 
that this was his official view only. 
Personally he does not believe that a 
city-owned railway system could be 
made to pay. As a citizen he would 
vote against such a move Neither does 
he anticipate that if the question went 
to a vote the people would actually 
favor city ownership. 

Reorganization Securities Authorized. 
■ — The Erie County Traction Corpora- 
tion has been authorized by the Public 
Service Commission, for the Second 
District of New York, to execute a 
mortgage on its property, the former 
Buffalo Southern Ry., to secure its first 
mortgage bonds and to issue under the 
mortgage $100,000 in 6 per cent fifty 
year or Series A bonds and $150,000 in 
twenty-five year Series C income bonds. 
The company is also authorized to issue 
$450,000 in common capital stock. The 
securities authorized, or their proceeds, 
$700,000, are to be paid to the pur- 
chasers, representing bondholders, at 
the foreclosure sale of the former Buf- 
falo Southern Ry. for the railway, com- 
pensation for the amount which the 
purchasers bid at the sale, to pay re- 
ceivers' debts and reorganization ex- 
penses. 

Sale of Huntington Road Approved. — 
The sale of the property of the Hunt- 
ington (N. Y.) R.R. by Receiver Wal- 
lace E. J. Collins to William A. Dempsey 
has been confirmed by Supreme Court 
Justice Faber. Following the sale, to 
which reference was made in the 
Electric Railway Journal for Jan. 3, 
page 72, opposition developed to the 
confirmation of the transaction. On 
this point the court ruled in substance 
that the best interests of the creditors 
and stockholders of the company were 
apparently conserved by the sale and 
that the court was not concerned with 
the disposition of the property by the 
purchaser after confirmation. The ob- 
jection was that the property or at 
least some of it might not be continued 
in operation. Justice Faber said that 
this question of convenience to the 
residents was not before the court. 



Court Approves Accident Settlements. 

— An order of the United States Dis- 
trict Court, authorizes the payment of 
approximately $40,000 in judgments 
against the Memphis (Tenn.) Street 
Ry. at a discount of 25 per cent. The 
judgments represent, principally, ver- 
dicts against the company for personal 
injuries received by a number of plain- 
tiffs in damage suits. A statement says : 
"This amount does not include all 
outstanding claims against the com- 
pany, nor does it represent the total 
indebtedness of the concern. It only 
represents the sum to be paid in settle- 
ment of claims in damage suits which 
were decided against the company. This 
means that all verdicts for damages 
granted plaintiffs in suits against the 
company prior to the time the court 
order became effective, will be paid by 
the receivers on a basis of 75 per cent 
of the amount named in the verdict 
or judgment." 

Appraisal Nearing Completion. — 

Stone & Webster practically have fin- 
ished their appraisal of the physical 
valuation of the lines of the New York 
(N. Y.) Rys. Although only approxi- 
mate figures are available at this time, 
it is declared the report will show that 
the physical valuation of the railway 
in 1914 was in the neighborhood of 
$85,000,000, and in 1919, based on re- 
production and replacement of all the 
elements entering into the physical 
composition of the system, is, in round 
figures, $140,000,000. This enhance- 
ment in value makes allowance for de- 
preciation of rails and equipment, but 
does not take into account the former 
value of the special franchises — $16,- 
000,000 — on which the corporation has 
been paying taxes as a going concern. 
The enhancement represents what it 
would cost to replace the physical fac- 
tors of the system on the present-day 
basis of high prices for labor and 
materials. 

Assistant in Receivership Case. — An 

order entered into the United States 
District Court by Senior Circuit Judge 
Walter H. Sanborn, reassigning Judge 
D. P. Dyer to serve as assistant to 
Judge Charles B. Faris, will relieve 
Judge Dyer of the duties of handling 
the receivership suit affecting the 
United Rys. of St. Louis. The receiver- 
ship suit is thereby transferred to the 
jurisdiction of Judge Faris, in as much 
as the order authorizes Judge Dyer to 
handle all cases but equity cases, under 
which classification the United Rail- 
ways suit comes. All orders for ex- 
penditures and approval of monthly 
reports of Receiver Wells have been 
made in the past by Judge Dyer. He 
appointed Mr. Wells receiver on April 
12, 1919. Since that time all expen- 
ditures and reports have been sub- 
mitted to him for approval. The re- 
ports were first submitted to Judge 
Henry Lamm, special master, who acts 
upon them and then sends his recom- 
mendations on to Judge Dyer. The 
final approval, however, rested with 
Judge Dyer. ^ 



Januarij 10, 1920 



Electric Railway Journal 



12.- 



Traffic and Transportation 



City Lines Need Increase 

San Francisco Municipal System Must 

Have Higher Fares to Continue 

Paying Present Wages 

The Municipal Ry. of San Francisco, 
Cal., will be obliged to raise its fare in 
the near future if it is to continue to 
pay the wages now in effect on its lines. 
This fact was brought out at the meet- 
ing of the Board of Supervisors on Dec. 
-29, when the question of securing funds 
to meet the deficit incident to the 
present wage-scale came up for con- 
sideration. 

Payment of the present wages is re- 
sulting in a deficit which must be made 
up either from the depreciation fund or 
from increased revenue, it was shown 
at the meeting. Each month the board 
Tjy resolution has appropriated more 
than $11,000 from the depreciation 
fund to make possible the $5 daily wage 
paid to platform men. It is felt that 
this deficit cannot continue to be met 
in this fashion, and that the only solu- 
tion is an increase in fare. 

The matter was brought to a head 
when Supervisor Power asked that the 
l)oard devise a proper method for secur- 
ing the money, declaring that the depre- 
ciation fund could not be used for this 
purpose. In urging the necessity of 
securing funds from some other sourct, 
Mr. Power said : 

This is a haphazard method of financ- 
ing. There is no use fooling ourselves. If 
■we keep on doing this it will not be long 
"before the depreciation fund is exhausted 
and we will find ourselves in a sorry pre- 
dicament. Any taxpayer could prevent 
this being done, as it is against the law. 

The Supervisors did not enter into a 
discussion concerning increased fare, 
but voted to have the judiciary com- 
mittee devise a new method of securing 
the necessary funds rather than take 
them from the depreciation fund. It 
is reported that the depreciation fund 
consists of $667,886 invested in bonds 
and $411,1.31 in cash with $147,894 in 
the injury insurance reserve. 

If the fare is raised on the city- 
owned lines, an increase in the rate 
charged by the United Railroads of 
San Francisco will be in order. It is 
felt that the charging of different rates 
"by the two companies would turn much 
of the traffic to the privately-owned 
lines. City ownership of the entire 
electric railway system of San Fran- 
cisco is seen by some as the best way 
out of the difficulty. This attitude is 
taken by the San Francisco Chronicle, 
which said editorially on Dec. 31: 

The municipal railroads are no longer 
paying thlr way and cannot be made to 
pay it except by raising their fares. Rais- 
ing the fare.s tends to reduce traffic for 
short distances, which are the money-mak- 
ing farf-s on all street railroads. To raise 
the fares on the municipal roads and 
not permit it on the competing roads 
■would turn all competitive traffic to the 
cheaper lines. And the competitors, if 
authorized, may conclude that it is more 



profitable to get the increased traffic 
drawn from the high-fare lines than to 
raise their fares to correspond. Probably, 
however, they will raise their fares. 

As was inevitable the politicians whom 
we elect to manage our business do not 
dare to face the issue squarely. They have 
been boasting that under municipal man- 
agement the 5 -cent fare could be continued 
indefinitely. They are afraid of the people 
if they raise the fares. 

Under municipal ownership, managed by 
politicians, the roads are inevitably run 
to pay the highest, possible wages to the 
largest possible number while maintain- 
ing low rates of fare — possible or im- 
possible. Foreseeing all this the Chronicle, 
while the question was open, opposed 
municipal ownership. 

When the people decided otherwise the 
question was closed and the Chronicle, 
now that we have the roads, desires them 
to be operated in the best manner possible 
and to earn all the money they can for 
the municipal treasury. Since we have 
started the city should own the entire 
system operating in the city. We must 
make the best of the bargain. 

Afraid to raise the fares the Supervisors, 
regardless of law, have been makmg up 
deficits in operation from the depreciation 
fund That means that a few years hence 
the people must be taxed for replacements 
which that fund was created to pay tor. 
It was shocking financing, the result cowar- 

There is but one way to make the Muni- 
cipal lines pay their way. * * * Ana 
we may as well face it. 



Louisville Asks Seven Cents 

The officials of the Louisville (Ky.) 
Ry. have notified Mayor Smith that, 
unless the company is granted an in- 
crease in fare to 7 cents with a 1-cent 
charge for each transfer, the company 
may be forced into receivership in the 
near future. To reduce operating ex- 
penses the directors may decide to dis- 
continue service on one or more of the 
cross-town lines. The abandonment of 
these lines is considered to be the 
alternative to a fare increase. 

The company's plight was made 
known at a conference between Mayor 
Smith and three directors of the Louis- 
ville Ry. on Dec. 30. It was estimated 
at the conference that a raise of fare 
from 5 cents to 7 cents, with an addi- 
tional cent for every transfer issued, 
would increase the company's revenue 
15 per cent. This alone will not save 
the company, it was declared by some 
of those present, the point being made 
that the service must be improved to 
a point where the company may gain 
the good will of the public. 

The recent strike of the car em- 
ployees cost the company, it was said, 
$500,000. No account of the strike is 
to be taken by those endeavoring to 
ascertain whether it is imperative to 
grant the company the right to increase 
fares. As a result the period during 
which the strike was on is to be 
eliminated entirely from the calcu- 
lations to be made. A question arose 
during the conference as to whether 
the poor showing made by the company 
in November and December was due to 
after-results of the strike, or whether 
it represented a natural falling off in 
business. 



Formal Applications Filed 

New York Companies Ask Board of 

Estimate for Conference with 

View to Fare Increase 

Three of New York City's traction 
corporations now in the hands of 
receivers on Jan. 7 formally applied 
for permission to raise their fares. 
The requests took the form of ap- 
plications to the Board of Estimate 
from Lindley M. Garrison, receiver for 
the Brooklyn Rapid Transit Co.; .Job 
E. Hedges, receiver for the New York 
Rys., and James R. Sheffield, trustee 
of the Interborough Consolidated Corp., 
for a public hearing to consider a 
plan for the temporary relief of the 
companies. 

Each of the receivers in his appli- 
cation for relief outlined the trying 
conditions under which the companies 
are operating and pointed out the fact 
that unless more revenue is obtained 
immediately disintegration of the city's 
transit system is inevitable. 

In the case of the Brooklyn Rapid 
Transit Co., Mr. Garrison declared 
that complete suspension of the com- 
pany's elevated, surface and subway 
lines is threatened. The plans fol- 
lowed closely the proposals made by 
Judge Julius M. Mayer, published in 
the issue of the Electric Railway 
Journal for Jan. 3, page 75. 

Meanwhile the Board of Estimate 
has undertaken an investigation of the 
transit situation on its own account. 
The board took action at the instance 
of Controller Craig, who on Dec. 30 
submitted a plan for the solution of 
the companies' difficulties. The board's 
action in deciding to conduct an inde- 
pendent inquiry was referred to briefly 
in the last issue of this paper. 

Comptroller Craig's plan was drawn 
up along the li"nes of that suggested 
several months ago by Public Ser^vice 
Commissioner Lewis Nixon, who ad- 
vocated a single operating company for 
the entire city, and the plan of Con- 
struction Commissioner John H. De- 
laney, which provided for eventual city 
ownership and operation. 

Comptroller Craig's plan is for the 
city to take over all of the securities 
outstanding against the traction prop- 
erties, adjust them to fit the precise 
amount represented by the physical 
values of the plants used in operating 
the lines, issue some form of certificate 
which will operate as a first lien upon 
the properties and take precedence 
even of the wages of employees, and 
then to set aside certain amounts of 
money each year .to retire the certifi- 
cates or whatever other form of se- 
curity the city issues. 

Both Mr. Delaney and Mr. Craig are 
in disagreement with the statement of 
Federal Judge Mayer that there was no 
way in which the city could get posses- 
sion of the lines without the outlay of 
a large amount of money, for both of 
their plans provide for the immediate 
transfer of the securities to the city 
and for the costs to be met out of oper- 
ating income and not at once out of 
the city treasury. 



124 



Electric Railway Journal 



Vol. 55, No, 2 



Baltimore Fares Again Advance 

Commission Authorizes Seven-Cent Straight Fare, Following 
Company's Urgent Plea — Former Rate Insufficient 



A straight 7-cent fare became effec- 
tive in Baltimore, Md., on Jan. 1. The 
increase was authorized by the State 
Public Service Commission on Dec. 30, 
after it had heard the plea of the 
United Rys. & Electric Co. for a return 
greater than that provided by the rate 
of 7 cents cash with four tokens for 
25 cents which had been in effect since 
Oct. 1, 1919. The straight 7-cent fare 
is expected to continue during 1920. 

The commission announced its deci- 
sion immediately after the conclusion 
of the hearing. The company had 
applied for a flat 7-cent fare on the 
ground that it could not re-establish its 
credit on the 6.5 rate. The hearing 
which was held on Dec. 30 occupied 
the entire day. On the same evening 
the commission announced that the 
company's plea had been granted. 

This is the third occasion on which 
the commission has authorized the 
company to raise its fare. On Oct. 1, 
1918, the rate was increased from 5 
cents to 6 cents. A year later the fare 
was advanced to 7 cents cash, the ticket 
rate being placed at 6.5 cents. The 
hearing held on Dec. 30 was in reality 
a continuation of the case heard by the 
commission last October, so that the 
commissioners were thoroughly famil- 
iar with the results which had been 
obtained during the past three months. 

Company Running Behind 

At the hearing on Dec. 30 the com- 
pany produced figures to show that it 
was running behind the estimates of 
earnings applicable to surplus, on 
which the 6.5-cent rate was adopted. 
It presented evidence proving that, in- 
stead of having $1,000,000 net return 
at the end of one year of operation at 
a 6.5-cent fare, its books would show 
an actual deficit. The commission in 
fixing the rate last fall, had decided 
that the company was entitled to 
$1,000,000 in net return. The only wit- 
ness for the company was President 
Emmons, who took the stand after a 
statement by Edwin G. Baetjer, of coun- 
sel for the company, as to the results 
of the operations under the 6.5-cent 
fare, and of the additional financial 
burdens placed on the company by the 
increase in the municipal tax rate, the 
increased cost of coal and other mate- 
rials and the increased cost of securing 
money which the company requires. 

Joseph C. Goldsmith, counsel for the 
city, made no objection to the increase 
in the fare. He stated, however, that 
he thought the company ought not to 
be allowed to accumulate a depreciation 
reserve, in view of the necessity of re- 
constructing a large part of the road, 
but that the money ordinarily applic- 
able to depreciation reserve ought to 
be used at once to make good deprecia- 
tion that already has occurred. This, 
Mr. Baetjer stated, was the intention 
of the company. 



At the conclusion of the hearing. 
Chairman Reif snider and Commissioner 
Legg stated that in view of all the 
features of the case, they thought it 
might be better to grant the company 
the amount of fare it asked for in order 
that its credit might be re-established, 
and to hold it to a strict accounting, 
both as to revenues and service, than 
to cut the figure a fraction of a cent 
and face the possibility of the company 
again coming before the commission 
with a request for an increase. The en- 
tire commission felt that it was prefer- 
able that the matter be settled promptly 
so that the public, as well as the com- 
pany, would know where it stood, than 
to have the mater hanging fire even 
for a day. 

Mr Emmons Testifies 

The commission showed some sym- 
pathy with the problems with which 
President Emmons, the new executive 
of the company, is confronted, and gave 
every indication of a willingness to 
give him the opportunity to make good. 
In commenting upon the commission's 
award, Mr. Emmons said: 

It is now up to the company to make 
good, and to convince the people that they 
are getting the full value of their money 
in the service the company gives them. We 
hope to improve the service In a number 
of directions, and this improvement will 
be just as rapid as we can make it. The 
full effect of these improvements cannot 



be felt until we are able to complete some 
rather extensive reconstruction work, but 
we intend to push this work just as fast 
as it is possible for us to do so. 

In the course of the hearing consider- 
able time was devoted to the discussion 
of depreciation. Mr. Emmons said that 
the repairs made last year were no 
more than should ordinarily have been 
made; that there were about 26 miles 
of track that would have to be recon- 
structed, and, even allowing that the 
life of the track would be twenty years, 
with more than 400 miles of track in 
the company's system, about 21 miles 
would have to be renewed every year. 
Then, if the life of a car were put at 
twenty years, it would mean the pur- 
chase of 100 new cars a year, and these 
two items alone would mean $2,260,000 
a year. 

Figures were shown to indicate that 
the charges for maintenance and depre- 
ciation in Baltimore were lower than 
in most other cities. In the previous 
hearing John E. Zimmerman, the com- 
pany's agent, maintained that the com- 
pany ought to be allowed for deprecia- 
tion 8 per cent and for maintenance 9 
per cent of gross revenues, whereas Mr. 
Emmons said that he thought the com- 
pany could get along on between 9 and 
10 per cent for both depreciation and 
maintenance 

Under the 7-cent fare it is expected 
that the company will earn a surplus of 
something more than $1,000,000, which 
the commission and the company offi- 
cials figure is necessary to the main- 
tenance of the company's credit. 



Muscatine Relents 

City Walked for Six Weeks Before Public Forced Authorities 
to Grant Relief to Railway 



The 7-cent fare went into effect on 
Jan. 5, in Muscatine, la., on the lines of 
the Clinton, Davenport & Muscatine 
Ry., which operates the city system 
there in connection with an interurban 
line from Muscatine to Clinton, la. The 
increase, approximately a 40 per cent 
raise, was voted at a special election of 
the Muscatine electorate on nearly a 
four to one basis on Dec. 23. The 
total vote was: Yes, 1,933, No, 530. 

The fare increase was in the form of 
a franchise amendment. It carried by 
large majorities in every ward in the 
city, even in the socialist wards which 
have been the seat of hot opposition to 
the company in months past. 

On Jan. 2 the Council passed the new 
ordinance on third and final reading. 
The new rates are in effect until June 
1, 1921. 

The increase is not to a fiat 7-cent 
basis. A workingman's ticket similar 
to the one formerly in use is also al- 
lowed. These tickets are sold in books 
fifty for $2 or at a 4-cent rate. These 
tickets are good between the hours of 5 
to 8 a.m. and 5 to 7 p.m. The old 
workingman's rate was fifty tickets for 
$1.50. The former straight fare was 5 
cents. 

No charge is made for transfers 
under the new ordinance as was form- 



erly the case. Children under sixyears 
when accompanied by an adult ride 
free and between the ages of six and 
twelve years pay a 4-cent fare. 

The special election showed a change 
in the attitude of the public toward the 
company that is extremely interesting 
in present day railway transportation. 
From Aug. 1, 1919, until a few weeks 
before the election the Muscatine city 
authorities had fought the company at 
every turn. Business interests had 
favored a fare increase, but had not 
been strong enough to make their 
wishes felt. 

Transportation on the railway 
stopped on Aug. 1 when the men went 
on strike on the entire Tri-city Rail- 
way System. Other communities on 
this system, Davenport, Rock Island, 
Moline and East Moline, promised a 
7-cent scale on Aug. 6 and transporta- 
tion was resumed in those cities. But 
in Muscatine the city authorities fought 
the company until foreclosure on un- 
paid notes of the Clinton, Davenport 
& Muscatine Railway held by the Tri- 
City Railway was threatened. Musca- 
tine then agreed to call a special elec- 
tion and service was resumed after sus- 
pension for six weeks. 

The public more than made good its 
pledge. The company made no efforts 



January 10, 1920 



Electric Railway Journal 



)^ 



yH3 



to push the rate increase through. 
Civic interests united for the work. 
Men's and women's clubs, church organ- 
izations, civic organizations, lodges and 
business interests united to back the 
increased fare provided for in the new 
ordinance. 

A strong advertising campaign was 
carried on by these civic bodies in the 
press and in motion picture houses. 
Public addresses were made by leading 
business men. The company threw 
open its books for inspection and audit 
by city authorities. There was not a 
high official of the company in the city 
on the day the vote was cast. Pass- 
ing of the amended franchise was cele- 
brated as a city victory. 

B. J. Denman, president of the com- 
pany, voices official satisfaction in the 
following statement: 

We are gratified at the change of public 
opinion toward traction companies. The 
increased fare will not bring us a profit, 
but it will enable us to about break even 
with increased expense of labor and ma- 
terials. An adverse vote would have 
forced us to discontinue service in Musca- 
tine. TV'e are pleased to continue that serv- 
ice and take it as an especially hopeful 
sign that the increased fare ordinance was 
carried by a large popular majority with 
our company keeping its hands off and city- 
wide interests backing the increase in the 
spirit of public policy. 

Frank T. Hulswitt, president of the 
United Light & Railways Co., of which 
the Clinton, Davenport & Muscatine 
Railway Co. is a subsidiary, like- 
wise commented on the Muscatine vote 
as a sign of a change in the attitude 
of municipalities toward public service 
corporations. 

The section of the ordinance of 1905 

fixing fares which has been repealed 

read as follows: 

Sec. 17. The said company shall have 
power to establish such rates of fare for 
the transmission of passengers over their 
road as they may deem proper and ex- 
pedient : provided, however, that the charge 
for carrying one person from one terminus 
of the entire line to any other terminus 
thereof, including the right of transfer, 
shall not exceed five (5) cents, excepting 
that the said company shall issue in book- 
lets of fifty (50) tickets, with rights of 
transfer good on any car between the hours 
of 5 and 8 a.m. and between the hours of 
5 and 7 p.m. and shall not charge more 
than 3 cents per fare or |1.50 for said 
booklet. Children under six (6) years of 
age, accompanied by an adult, shall be car- 
ried free. Children from six to twelve 
years of age shall be carried for a fare of 
3 cents. 

In the place of Sec. 17 the Council 
has ordained as follows: 

The said company shall have power to 
establish such rates of fare for the carriage 
of passengers as it may deem proper. It 
is provided, however, that the charge for 
carrying one person from the terminus of 
any line In the city of Muscatine td the 
terminus of any other line therein, includ- 
ing the right of transfer, shall not exceed 
the sum of seven (7) cents. It is further 
provided that the said company shall issue 
booklets containing fifty (50) tickets each, 
with rights of transfer, to be sold for not 
more than two dollars ($2) for each book- 
let, which tickets shall be good for the 
passage of the individual owner of the 
boeklet upon any car of the company be- 
tween the hours of 5 a.m. and 8 a.m., and 
between the hours of 5 p.m. and 7 p.m., 
said tickets not to be good unless detached 
from the booklet in the presence of the 
motorman. Children under the age of six 
(6) years, when accompanied by an adult, 
shall be carried free. Children of the age 
from six to twelve years shall be carried 
for four (4) cents, or two children of such 
age for seven (7) cents. 

Sec. 3. It is understood that the rates 
of fare fixed and permitted by this ordi- 
nance relate only to the ordinary street cars 
of the company operated upon the lines 
within the city of Muscatine, and not to the 
interurban cars of the Clinton, Davenport 



& Muscatine Ry. when operated within the 
said city. 

Sec. 4. The rates of fare provided for in 
this ordinance shall be in force and effect 
from and after its passage and adoption 
by the City Council of the city of Musca- 
tine, its publication as required by law and 
its acceptance by the company and shall 
continue in force and effect until the first 
day of June, 1921. 

Sec. 5. From and after the first day of 
June, 1921, during the life of the fran- 
chise under which the company operates, 
the rates of fare to be charged and col- 
lected by the said company, shall be as in 
this section provided : 

The said company shall have power to 
establish such rates of fare for the trans- 
mission of passengers over its road as it 
may deem proper and expedient ; provided, 
however, that the charge for carrying one 
person from one terminus of the entire 
line to any other terminus thereof, includ- 
ing the right of transfer, shall not exceed 
five (5) cents, excepting that the said com- 
pany shall issue in booklets of fifty (50) 
tickets, with rights of transfer good on any 
car between the hours of 5 and 8 a.m., and 
between the hours of 5 and 7 p.m., and 
shall not charge more than 3 cents per 
fare, or $1.50 for said booklet. Children 
under the age of six (6) years, when ac- 
companied by an adult, shall be carried 
free. Children from six to twelve years of 
age shall be carried for a fare of 3 cents. 



Washington Wants More 

Company Asks Straight Seven-Cent 

Fare — Running Behind More 

Than $366,000 a Year 

The Washington Railway & Electric 
Co., Washington, D. C, has filed an 
application with the Public Utilities 
Commission of the District of Colum- 
bia for a straight 7-cent fare and an 
additional charge of 2 cents for trans- 
fers. Despite the fact that the com- 
pany was granted an increase in fare 
on Nov. 1, 1919, it is maintained that 
that increase does not allow the com- 
pany to earn 6 per cent on its invest- 
ment. 

In the petition filed with the com- 
mission, it was pointed out that when 
the fare was fixed at four tickets for 
25 cents or 7 cents cash, the company 
needed $850,000 a year in additional 
revenue to pay a fair return on its 
property. After two months at the in- 
creased fare, the petition states, it is 
apparent that the increased revenues 
are falling far short of the estimates of 
the commission. 

The attention of the commission is 
called to the following facts: that the 
sale of 2-cent intercompany transfers 
has fallen off 29 per cent since Nov. 
1; that the number of pay passengers 
has fallen off 6.8 per cent; and that 
only 9.8 per cent of the total passen- 
gers pay the 7-cent cash fare as com- 
pared with an estimate of 13.3 per cent 
made by the commission. 

The petition says in part-: 

During the months of November and 
December, during which latter month 
the traffic was unusually heavy on account 
of the Christmas holidays, total passenger 
earnmgs within the District of Columbia 
have amounted to an average of $14,109.11 
per day, as compared with an average in 
October, 1919, of $12,785.57 per day. This 
is a daily increase of $1,323.54, equal to 
10.3 per cent. If this increase were to 
continue throughout the year it would 
amount to $483,092, which is $366,908 less 
than the $850,000 increase which the com- 
mission stated was necessary in order for 
us to earn a 6 per cent return on their 
valuation. 

Officials of the Capital Traction Co. 

said they would not ask for an increase 

in fare unless they were directed to do 

so by the commission. 



A Straphanger's Philosophy 

This Editor Likes to Ride, Calls the 

Electric Car His Club, 

and Says So 

The ideal straphanger has been 
found. His name is William L. Wilder. 
He lives in Pueblo, Col. Inciden- 
tally, he- edits the Pueblo Chieftain. 
Unlike most editors, he thinks a daily 
newspaper has other functions than 
that of berating the local electric rail- 
way. He believes that the motorman, 
the conductor and even the general 
manager are human beings. He real- 
ly enjoys his daily trips in the cars of 
the Arkansas Valley Railway, Light & 
Power Company. He wouldn't think 
of riding in a jitney. He even says 
these things in his newspaper. 

Car an "Electric Club" 

The fare in Pueblo was recently 
raised to 6 cents. Mr. Wilder, instead 
of taking the occasion to harangue 
his fellow Puebloans on the iniquities 
of the local management. Wall Street 
and the capitalistic system in general, 
devoted a whole column in the Chief- 
tain to telling them that the life of a 
straphanger might be worse, after all. 
He called the electric car his club, and 
the other riders his fellow members. 
Here are some of his thoughts about 
this trolley-club: 

Sure, I belong. In my share of the course 
of human events I have been a joiner many 
^n^^v, ^t^S'"^ "'"^^ satisfactory experienc^ 
in that line was when I entered the 
^r.^T-^'^^' Honorable, Imperial and Demo- 
cra.tic Consolidated Order of the Sixcenters 
It IS a large order in more senses than one. 

Anybody can get in, for we are not at 
all exclusive. Anybody who stays out has 
nobody to blame but himself, and I really 
feel sorry for the outsiders who shut them- 
selves out of our society and miss all the 
pleasant companionship and associations 
of our lodge and club room. 

Oh, yes ; we have an elegant club room, 
electrically warmed and lighted, well fur- 
nished, well ventilated, artistically decor- 
ated with pictures and a library of univer- 
sal knowledge equal to the best. And the 
surprising thing is that our club room is 
movable, so th.'it we go from place to place 
according to our pleasures and necessities, 
quite in the fashion of the magic carpet 
of the Arabian Nights. Honest, we do. 

Our attendents, or rather our club officers, 
for we follow the democratic plan of giv- 
ing the chief honors to those who do the 
most service, are in uniform. The Captain, 
or Outside Sentinel, is constantly on guard 
at the door and admits us upon payment 
of the regular dues of one white and yel- 
low chip. To save bookkeeping, dues are 
payable upon every entrance and thus no 
members are in arrears. * * « 

Within the clubroom democratic comfort 
and simplicity are the rule. We talk, argue, 
exchange friendly salutations, remark sage- 
ly upon the state of the weather, discuss 
the news of the day, or educate ourselves 
by absorbing the information that is con- 
tained in our library that is displayed 
openly for our convenient study. Therein 
we are advised, commanded or entreated 
to do all, or nearly all the things that are 
necessary to the successful conduct of our 
daily affairs. * * * 

Some of the best people of the city belong 
to the Sixcenters, in fact all of them do. 
I believe. The dinner pail degree members 
are tliere in large numbers, particularly 
at certain times of the day. and I sure wisli 
that all I write had as much good sense 
and Americanism in it as some of the talks 
I have heard from these brothers of our 
lodge in the 6-cent clubhouse. » » * 

To and fro throughout the day and far 
into the night, the moving clubhouses of our 
order go. bearing the work and the pleas- 
ure, the griefs and the joys, the successes 
and the failures of our city. They have 
their part in all that makes life worth liv- 
ing, in all that makes life wortli losing. I 
pity the man or the woman that doesn't 
ride in the street cars. 



126 



^ittf 



Electric Railway Journal 



Vol. 55, No. 2 



Transportation 
News Notes 



Six Cents in Houghton. — The Michi- 
gan Public Utilities Commission on 
Dec. 23 authorized the Houghton Coun- 
ty Traction Co., Houghton, to charge 6- 
cent fares for a ride in each zone. The 
former rate was 5 cents per zone. 

Suspends Increase on Ohio Line. — The 
Public Utilities Commission of Ohio 
has suspended a schedule of the Scioto 
Valley Traction Co., Columbus, Ohio, 
under which the latter proposed to in- 
crease fares on Jan. 1. The new rates 
are suspended pending further hearings 
before the commission. 

Ten Cents in Tacoma. — The State 
Public Service Commission has notified 
the city authorities of Tacoma, Wash., 
that 10-cent fares will go into effect on 
the line